HOUSTON, July 29, 2011 /PRNewswire/ -- A subsidiary of
Rick's Cabaret International, Inc. (NASDAQ: RICK), the nation's
leading group of upscale gentlemen's clubs, has completed the
acquisition of the Minneapolis
gentlemen's club known as Schiek's Palace Royale for $2,875,000. In addition a subsidiary of Rick's
Cabaret acquired the real estate associated with the club at South
4th Street in downtown Minneapolis
for $3,250,000.
(Logo:
http://photos.prnewswire.com/prnh/20110418/MM85342LOGO)
Closings on the transaction had been delayed because the
shutdown of Minnesota state
government offices had prevented issuance of required alcoholic
beverage licenses, all of which have now been delivered. The Rick's
Cabaret subsidiary has begun operating the club, which will now be
known as The Downtown Cabaret.
The acquisition brings to 22 the number of clubs in the Rick's
Cabaret group nationwide.
Eric Langan, president and
CEO of Rick's Cabaret said: "The Downtown Cabaret is a great
location for us. We now have the top two clubs in the Minneapolis market, along with accompanying
efficiencies in management, marketing and purchasing. We will be
announcing details of our grand opening very soon and we think the
market will be delighted with the changes we'll be making."
About Rick's Cabaret: Rick's Cabaret International, Inc.
(NASDAQ: RICK) subsidiaries operate 22 adult nightclubs nationwide
serving primarily businessmen and professionals. The clubs offer
live entertainment, dining and bar operations. Nightclubs in
New York City, Miami, Philadelphia, Charlotte, Dallas, Houston, Minneapolis and other cities operate under the
names including "Rick's Cabaret," "XTC," "Club Onyx" and "Tootsie's
Cabaret". Sexual contact is not permitted at these locations.
Rick's Cabaret also operates a media division, ED Publications, and
owns the adult Internet membership Website couplestouch.com as well
as a network of online adult auction sites under the flagship URL
naughtybids. com. Rick's Cabaret common stock is traded on NASDAQ
under the symbol RICK. For further information contact ir@ricks.com
or visit www.ricksinvestor.com.
Forward-looking Statements: This document contains
forward-looking statements that involve a number of risks and
uncertainties that could cause the company's actual results to
differ materially from those indicated in this document, including
the risks and uncertainties associated with operating and managing
an adult business, the business climates in cities where it
operates, the success or lack thereof in launching and building the
company's businesses, risks and uncertainties related to the
operational and financial results of our Web sites, conditions
relevant to real estate transactions, and numerous other factors
such as laws governing the operation of adult entertainment
businesses, competition and dependence on key personnel. Additional
factors that could cause the company's results to differ materially
from those described in the forward-looking statements are
described in forms filed with the SEC from time to time and
available at www.ricksinvestor.com or on the SEC's internet website
at www.sec.gov. Rick's has no obligation to update or
revise the forward-looking statements to reflect the occurrence of
future events or circumstances. For further information visit
www.ricksinvestor.com.
SOURCE Rick's Cabaret International, Inc.