BROKEN ARROW, Oklahoma, June 29, 2016 /PRNewswire/ --
Healthy & Tasty Brands Corporation (the "Company") (OTC: GRLT) today announced that it has closed on a $5,000,000 revolving credit facility with TCA Global Credit Master Fund, LP.
The Company received the initial tranche of $700,000 on Thursday, June 16, 2016 and upon consent of the lender may draw down additional amounts on the same terms. The Company plans to use the line of credit to carry out its expansion strategy by funding the acquisition of restaurants, retrofit existing restaurants and build out new locations, and to fund marketing/branding campaigns.
The Company has four existing restaurant locations to date and is using the draw down for initial capital requirements for acquisition, pay down of debit, and retrofit of the first restaurant locations.
Chairman and CEO of Healthy & Tasty Brands, C. Keith Wilkerson II, commented, "Access to this credit facility will greatly strengthen our capacity to carry out the expansion for our corporately owned and future franchise locations. Further, we believe that as a result of the leverage that this facility affords us, the expense of the facility is significantly less than all-equity alternatives. Further, we are confident that TCA Global Credit will prove to be a reliable financial partner who will have the capacity to support our growth objectives."
The CEO added, "It is important for our shareholders to understand that this is a debt financing with a limited equity kicker. We believe that this facility will reduce the need to issue additional equity in order to fund new store locations."
About Healthy & Tasty Brands
Mr. Wilkerson became CEO on February 18, 2016. Since the first of the year, the Company has acquisition projects resulting in a total of four restaurant locations. The Company projects that these initial four restaurants will drive revenue to the 2017 goal of $6,000,000.00.
The first acquisition of this year is the Full Moon Café of Broken Arrow, Oklahoma. Full Moon Café is a sit-down, full service restaurant and bar serving New American cuisine. This restaurant and bar concept has been a Tulsa area staple for 26 years. Its prior success and regional market penetration is still a valuable advertising component. Part of the proceeds will be used to give Full Moon Café a face lift and introduce a new menu and further develop the craft beer program, which now serves over 30 selections, as well as a new line of exotic drinks.
Mr. Wilkerson is pleased to announce, "Within the short time since the acquisition, Full Moon Café has enjoyed sales increases of more than 20% year to date."
On April 5th, 2016 the Company purchased Bellacino's Pizza, located near Oral Roberts University. Part of the proceeds will be used to convert it to the Sooner Bread Company. The Company will retrofit and introduce a new menu, signage, graphic and color scheme for this new concept. Embracing a "Sooner State" theme, making it unique to the Oklahoma heritage, it is believed the restaurant will be incredibly well received when it is rebranded and relaunched into the community and its competitive market set.
Mr. Wilkerson also stated Sooner Bread Company, which bakes its own unique bread and pizza dough, will expand quickly, adding delivery, catering, beer and wine. Sooner Bread Company has the potential to easily become a landmark location in its community. This concept is one that Healthy & Tasty Brands anticipates replicating in the months to come.
Mr. Wilkerson stated, "The combined revenues of the first two restaurants is projected to exceed $2 million per year. I believe this can increase substantially by improving operations, aggressive marketing, and menu changes that represent the Company's commitment to exceptional service and exceptional menu offerings."
Healthy & Tasty Brands has also acquired the majority position in 2 staple downtown restaurant locations from The Blue Ox Dining Group.
The most prestigious being Joe Momma's Pizza, which after decades of great success suffered a business closing fire in 2015. The location has been sustained, and the Company is now working with the insurance claim to rebuild it back to a glorious establishment and re-open it in the Fall of 2016. This should be an incredible event, since it is renowned in the Tulsa area, and even nationally having been featured on the popular TravelChannel series "Man v. Food" in previous years. In 2017, Joe Momma's anticipated revenue should exceed $2,000,000.00 by itself.
The other downtown restaurant is the White Flag. It is currently serving gourmet hamburgers and exceptional American comfort food. The location will receive some minor renovations including a streetside walk up counter, and a roof top patio. White Flag is being considered for rebranding as a Full Moon Café, Downtown Tulsa location.
Both of the acquisitions boast possibly the best addresses in the city of Tulsa. Located in the Blue Dome District, and walking distance to The Performing Arts Center, OneOk Field, and a short distance from the BOK Center. Furthermore, hundreds of millions of dollars of downtown development are taking place in the immediate area surrounding these restaurant locations.
Forward Looking Statements:
Statements in this press release that are not purely historical facts, including statements regarding Healthy & Tasty Brands Corp. beliefs, expectations, intentions or strategies for the future, may be "forward-looking statements" under the Private Securities Litigation Reform Act of 1996. Such statements consist of any statement other than a recitation of historical fact and can be identified by the use of forward-looking terminology such as "plan", "may", "expect", "anticipate", "intend", "estimate" or "continue" or the negative thereof or other variations thereof or comparable terminology. The reader is cautioned that all forward-looking statements are speculative, and there are certain risks and uncertainties that could cause actual events or results to differ from those referred to in such forward-looking statements. This disclosure highlights some of the important risks regarding our business. Specifically, the reader should not place undue reliance on statements regarding our ability to finalize the closing of this line of credit or acquire a new store location in State of Oklahoma. Additionally, there are number of other risk factors relating to our business more fully explained identified by us in our filings with the OTC Markets, which are available through http://www.otcmarkets.com.
C. Keith Wilkerson II
Chief Executive Officer
SOURCE Healthy & Tasty Brands Corporation