Today, Hooters of America, Inc. (HOA) stated that it has concerns over Chanticleer Holdings’ announcement that it plans to acquire Texas Wings. Texas Wings is HOA’s largest franchisee. It operates 45 Hooters Restaurants in the state of Texas under franchise agreements with Atlanta-based HOA. Texas Wings’ franchise agreements require Texas Wings to obtain HOA’s consent before it enters into any transfer agreement. The franchise agreements also require Texas Wings to grant HOA a right of first refusal. Although Chanticleer announced that Texas Wings has signed an asset purchase agreement with Chanticleer, Texas Wings has not requested or obtained HOA’s consent, nor has it recognized HOA’s right of first refusal, in violation of its franchise agreements with HOA.
HOA is also concerned that Chanticleer is announcing yet another acquisition when Chanticleer has apparently not yet closed a transaction with Hooters Inc. (HI), an HOA licensee. HI operates 22 Hooters locations in Chicago, New York City and the Tampa Bay area. In March, Chanticleer announced plans to acquire HI and close no later than July 31. Chanticleer holds no rights to acquire franchisees without HOA’s consent, and it appears Chanticleer may not be able to close announced transactions in a timely fashion.
Coby Brooks, the President and CEO of HOA, stated, “Although I am pleased that our franchisees may be in a position to monetize the equity they have built under years of HOA leadership, I do not want anyone to distract our system with promises that may not be fulfilled. Hooters is performing well, even during challenging economic times. However, our success is not guaranteed, and it can be threatened when operators start thinking about cashing out versus taking care of our guests. We are concerned that Chanticleer may be attempting to create an illusion that it has certain rights and understandings that extend beyond what it actually has.”
Commercial Capital Training
Welcome to Commercial Capital Training Group Own Your Own Finance Business By Completing Our Comprehensive Commercial Loan Broker Training Program Commercial Capital Training Group, LLC 90 State St. Suite #1500 Albany, NY 12207 Commercial Capital Training Group has developed a one-of-a-kind commercial loan broker training program that allows you to own a commercial finance company. With […]
e² Young Engineers
If you love children, you are going to love this business! Our programs teach science, technology, engineering and math to children and we have fun! Background: We are e² Young Engineers Young Engineers enrichment programs combine education + entertainment = edutainment. We created a variety of different programs that can be used to teach science, technology, […]
Open A Boutique
I Will Teach you How to Open a Boutique Have you always wanted to share in the excitement of owning your own clothing, accessory, gift, children’s, maternity, bridal or shoe boutique – either online or brick and mortar? Are you crazy about fashion, motivated and do you want to learn what it takes to get […]
Cell Routes USA
We Are Cell Routes USA & we are taking the world by storm!! Are you aware that today, 99% of people ages 14-80 have a cell phone? And what do you need all the time when you have a cell phone?? Accessories!! Our BOLD, BRIGHT & HIGHLY ACCESSIBLE Displays literally sell the product for you. […]
Owner Financing is a Multi-Billion Dollar Untapped Market and it occurs in about 10% of all home sales in the U.S., and it’s growing in popularity every day. Our company has been in business since 1997 and is one of the largest buyers of Owner Financed Real Estate Notes in the country. We have created […]