restaurants, food & beverage industry report report draf… · restaurants to increase sales...
TRANSCRIPT
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
A Debtwire Middle Market Special Report
October 2017
Restaurants Food amp Beverage
Industry Report
Debtwirecom
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 2
Restaurant Struggles Continue Through 2017
Declining traffic tallies stiff competition new restaurant entrants variable
preferences and lack of relief on the expense-side continue to create a difficult
operating environment for companies in the restaurant food amp beverage sectors
According to Zacks Equity Research 2Q17 was the sixth consecutive quarter of
negative same-store sales for the restaurant industry Continuing the trend
August same-store sales declined 2 and traffic dropped 39 as per TDn2Krsquos
most recent Restaurant Industry Snapshot report
We continue to monitor (see page 9) several restaurant credits that may
continue to be under pressure as they attempt to negotiate covenant relaxes
refinance debt and maintain adequate liquidity
In this report we discuss topics and concerns facing the industry We also
illustrate complementary proprietary macro-level data sets and analyses that
help provide color on the sectorrsquos current state For example on page 6 we
uncover several stressed restaurant portfolio holdings amongst the Business
Development Companies (BDCs) including Smashburger operating in the
competitive fast-casual ldquobetter-burgerrdquo space As of 2Q17 Golub Capital BDC
Inc marked its stake in the companys senior loan due May 2018 at 94 of face
value On the primary market side we display several deals in the sector tracked
by our Primary Loan Monitor (PLM) including two sponsor transactions (page 7)
Publicly traded restaurant operators tracked by Debtwire Middle Market are
trading at an ~94x multiple of 2017E EBITDA (see page 4) while their stock is
down on average ~16 YTD as compared to SampP 500 which is up ~12
Looking ahead considering the descent in sales and profitability throughout the
sector some restaurants can look forward to favorable comparisons against a
weak prior year This may have contributed to the recent modest increase in the
6-month forward business condition outlook amongst restaurant operators (see
page 3) With that said given the uncertainty in the sector the brick-and-mortar
exposure and our expectation of a continued highly competitive environment
we think lenders will remain selective and borrowers may face unfavorable
financing terms (in some cases) especially in the middle market
Consumer preferences
With an overbuilt casual dining segment and limited consumer spending power
due to underwhelming income increases the main approach for many
restaurants to increase sales would be through taking away traffic from its
competitors Resourcefulness and nimbleness amongst management teams will
be key in driving traffic
According to TDn2Krsquos latest Market Share and Industry Growth Report the quick
service and fast casual segments of the market continue to gain market share
through 2Q17 with some of the market share losses coming from family dining
and casual
On a whole basis creating significant value for customers remains difficult The
price of food-away-from-home continues to increase at a much larger pace than
the increase in food prices at home (see figure on page 3) While productivity
improvements continue to help agriculture and wholesale businesses realize
benefits the service (labor) and occupancy costs of the food-away-from-home
segment continues to pressure profitability for restaurants
Technology and data will become an increasingly important factor in the sector
Wersquove covered several companies that have noted its focus on technology-
enhanced delivery and to-go options
Cost-side pressures
With top-line strains some restaurant have relied on promotions and have
stayed away from aggressive menu price increases If restaurants resort to
decreasing menu prices in order to attract traffic margins are unlikely to
improve For this reason we think restaurants will continue to focus on
improving guest experience to draw traffic Along with high rent costs rising
employee turnover rates have been a headwind for restaurant operators with
increasing wages and decreasing unemployment Many cost-side initiatives are
discussed in detail in our tear sheets and credit research reports
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 3
INDUSTRY DATA
The National Restaurant Associationrsquos Restaurant Performance Index is a statistical barometer that measures theoverall health of the US Restaurant Industry This monthly composite index is based on the responses to the NationalRestaurant Associationrsquos monthly Restaurant Industry Tracking Survey which is fielded among restaurant operatorsnationwide on a variety of indicators including sales traffic labor and capital expenditures The RestaurantPerformance Index is composed of two equally-weighted components the Current Situation Index and the ExpectationsIndex For each of the Indices and Indicators a value above 100 signals a period of expansion while a value below 100signals a period of contraction The distance from 100 signifies the magnitude of the expansion or contraction
Source National Restaurant Association
Source National Restaurant Association
230
235
240
245
250
255
260
265
270
275
Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
Ind
ex
19
82
-19
84
=1
00
Mo
nth
ly
Food away from home Index
Food at home Index
Source Federal Reserve Bank of St Louis
1003
10091010
1006
1002
990
992
994
996
998
1000
1002
1004
1006
1008
1010
1012
1014
1016
1018
1020
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
973
986
997
989
977
970972974976978980982984986988990992994996998
100010021004100610081010
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
1010
1008
999
1008
1005
990
992
994
996
998
1000
1002
1004
1006
1008
1010
1012
1014
1016
1018
1020
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
Restaurant Performance Index
Expectations Indicator- Business Conditions (Restaurant operatorsrsquo outlook for general
business conditions for next 6M)
Comparison Price Inflation of Food at Home vs Food Away From Home
Customer Traffic- Restaurant Performance Index
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 4
CompanyEnterprise
Value
LTM
EBITDA
2017E
EBITDA
LTM
EBITDA
Multiple
2017E
EBITDA
Multiple
LTM
Revenue
2017E
Revenue
LTM
Revenue
Multiple
2017E
Revenue
Multiple
Total DebtTotal
LeverageNet Debt
Net
Leverage
Same-restaurant
sales (YoY)
YTD Stock
Performance
Ruby Tuesday Inc 299 30 nm 101x na 925 na 03x na 214 72x 172 58x 31 -347
BJs Restaurants Inc 791 122 125 65x 64x 1023 1059 08x 07x 173 14x 150 12x -14 -239
Buffalo Wild Wings Inc 2038 261 276 78x 74x 2023 2069 10x 10x 430 16x 410 16x -12 -320
The Wendys Company 6186 385 426 161x 145x 1280 1241 48x 50x 2729 71x 2524 65x 32 110
Texas Roadhouse Inc 3366 278 309 121x 109x 21003 2316 16x 15x 525 02x 064 00x 40 03
Bravo Brio Restaurant
Group Inc75 21 25 36x 31x 406 390 02x 02x 387 18x 383 18x -11 -368
El Pollo Loco Holdings Inc 547 62 70 88x 78x 3936 422 14x 13x 949 15x 905 15x 24 -47
Shake Shack Inc 842 50 63 169x 133x 3159 394 27x 21x 112 02x -744 nm -18 -70
Noodles amp Company 232 12 32 187x 73x 4816 457 05x 05x 609 49x 577 47x -34 37
Del Taco Restaurants Inc 750 68 75 111x 99x 4686 490 16x 15x 1618 24x 1568 23x 71 750
Famous Daves of America
Inc 37 3 3 122x 133x 952 83 04x 04x 11 37x 56 19x -30 -101
Ignite Restaurant Group
Inc 119 17 na 70x na 4275 na 03x na 1312 78x 1185 70x -143 -973
Granite City Food amp
Brewery Ltd 62 6 na 98x na 1464 na 04x na 604 94x 553 86x na -501
Average 108x 94x 12x 14x 38x 36x -05 -159
Source CapIQ
COMPS USD m
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 5
TargetTransaction
Status
Total Transaction Value
($USDmm Historical
rate)
BuyersInvestors Sellers MampA Announced Date
Implied Enterprise Value
($USDmm Historical
rate)
Implied
Enterprise
ValueEBITDA (x)
Cheddars Inc Closed 780 Darden Restaurants Inc (NYSEDRI) L Catterton Oak Investment Partners 3272017 780 104x
Bob Evans Farms LLC Closed 565 Golden Gate Capital Bob Evans Farms Inc (NasdaqGSBOBE) 1242017 565 -
Checkers Drive-In Restaurants Inc Closed 525 Oak Hill Capital Partners Sentinel Capital Partners LLC 3232017 525 -
TAO Group LLC Closed 20646The Madison Square Garden Company
(NYSEMSG)- 212017 31506 -
Ninety Nine Restaurant Inc Announced 199 J Alexanders LLC OCharleys Inc 842017 199 66xIgnite Restaurant Group Inc
Substantially All AssetsClosed 17514 Landrys Inc
Ignite Restaurant Group Inc
(OTCPKIRGTQ)8112017 17514 -
Pacific Island Restaurants Inc Closed 105Restaurant Brands New Zealand Limited
(NZSERBD)Nimes Capital LLC 10262016 105 55x
Reins International (USA) Co Ltd Announced 87 REINS international inc - 11252016 87 -
Original Oyster House Inc Closed 1075 Ark Restaurants Corp (NasdaqGMARKR) Premium Properties Inc 11162016 1075 -
Homestyle Dining LLC Announced 105 FAT Brands Inc - 962017 105 -
Osha Restaurants In California Announced 85 Food Capitals (USA) Inc - 4192017 85 -
Fired Up Inc Closed 789 Bluestone Holdings Group LLC - 11232016 789 -
Max Brenner International Inc Effective 5 - Strauss Group Ltd (TASESTRS) 5242017 5 -
Yobe Acquisition LLC Announced 23 ARC Group Inc (OTCPKARCK) - 262017 23 -
Chow Fun Holdings LLC Closed 16 - Jollibee Worldwide Pte Ltd 12232016 199 -
ARC Group Inc (OTCPKARCK) Closed 0556 - - 8242017 142 -
Sammy Ts Inc Closed 081 Fallkos LLC - 11232016 081 -
Jacobys German Biergarten Closed 079 LVT Properties LLC - 1122016 079 -
Lobster Pound Restaurant Inc Announced 07 - - 392017 07 -
The BrewZaa Closed 06 Mikeys Late Night Slice - 11302016 06 -
Seediv LLC Closed 06 ARC Group Inc (OTCPKARCK) - 10242016 06 -
Florentine Restaurant Inc Closed 05 The Robert Weiler Company - 132017 05 -
Average 75x
Source CapIQ
MampA COMPS USDm One Year
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 6
Below is the list of all securities in the Restaurant sector marked below 95 of their fair value from the entire portfolio of 41 largest BDCs in our 2Q17 coverage It also compares the current implied price with that of the last quarter to give perspective on the change in the value of the security and the credit This list is taken from our latest quarterly BDC Monitor report
USD 000s
BDC Borrower Industry Investment Coupon Maturity PrincipalFair
ValueImplied
Price
Previous Quarter Implied
Price
Non-Accrual
Sponsor
Triangle Capital Corporation (TCAP)
Cafe Enterprises Inc RestaurantSubordinated
Note70 Jan-19 14378 10139 705 726 2Q17
TCP Capital Corp (TCPC)
RM OpCo LLC (Real Mex)
RestaurantsSecond Lien Term Loan Tranche B
85 Mar-18 10107 910 90 135
THL Credit Inc (TCRD)Specialty Brands
Holdings LLCRestaurants Second lien debt 107 PIK Dec-17 22131 15491 700 2Q17
Bunker Hill Capital
Ares Capital Corporation (ARCC)
ADF Capital Inc ADF Restaurant Group
LLC and ARG Restaurant Holdings
Inc
Restaurant owner and operator
First lien senior secured loan
Dec-18 39900 11300 283 453
Ares Capital Corporation (ARCC)
Orion Foods LLC Convenience food
service retailerFirst lien senior
secured loanSep-15 1200 500 417 2Q17 One Rock Capital
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Medley Capital Corp (MCC)
Black Angus Steakhouses LLC
Hotel Gaming amp Leisure Revolver LIBOR + 900 100
LIBOR FloorApr-20 268 235 877 869 Versa Capital
Golub Capital BDC Inc (GBDC)
ABP CorporationBeverage Food and
TobaccoSenior loan P + 350 Sep-18 292 275 942 942
Golub Capital BDC Inc (GBDC)
Smashburger Finance LLC
Beverage Food and Tobacco
Senior loan L + 550 May-18 83 78 940
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 7
Date Tracked Borrower Name Instrument Size (USDm) Maturity Coupon Sponsor Lead Lender Purpose
10-Feb-17 Ruthrsquos Hospitality Credit Facility 1000 Jul-22 L + 15 - 225 Wells Fargo Refi
3-Mar-17 Solo Liquor Holdings Term Loan 150 1200 Crown Capital Partners GCP
31-Mar-17 Four Foods Group Credit Facility 227 Aug-22 CIT GCP
2-Jun-17 Sinbad Foods LLC Credit Facility 55 Evanston Partners LLC MB Business Capital LBO
16-Jun-17 Donnelly Group Term Loan 120 CWB Franchise Finance Refi
11-Aug-17 Cream Wine Company Credit Facility 20 North Mill Capital Refi
15-Sep-17 Cafe Rio Inc Credit Facility 1460 Freeman Spogli amp Co Golub Capital LBO
Below is the list of newly issued loans in the restaurant sector (YTD) tracked by Debtwire Middle Marketrsquos Primary Loan Monitor (PLM) report which is published on a monthly basis
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
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Capture early stage primary opportunities and stay on top of the leveraged market
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Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 2
Restaurant Struggles Continue Through 2017
Declining traffic tallies stiff competition new restaurant entrants variable
preferences and lack of relief on the expense-side continue to create a difficult
operating environment for companies in the restaurant food amp beverage sectors
According to Zacks Equity Research 2Q17 was the sixth consecutive quarter of
negative same-store sales for the restaurant industry Continuing the trend
August same-store sales declined 2 and traffic dropped 39 as per TDn2Krsquos
most recent Restaurant Industry Snapshot report
We continue to monitor (see page 9) several restaurant credits that may
continue to be under pressure as they attempt to negotiate covenant relaxes
refinance debt and maintain adequate liquidity
In this report we discuss topics and concerns facing the industry We also
illustrate complementary proprietary macro-level data sets and analyses that
help provide color on the sectorrsquos current state For example on page 6 we
uncover several stressed restaurant portfolio holdings amongst the Business
Development Companies (BDCs) including Smashburger operating in the
competitive fast-casual ldquobetter-burgerrdquo space As of 2Q17 Golub Capital BDC
Inc marked its stake in the companys senior loan due May 2018 at 94 of face
value On the primary market side we display several deals in the sector tracked
by our Primary Loan Monitor (PLM) including two sponsor transactions (page 7)
Publicly traded restaurant operators tracked by Debtwire Middle Market are
trading at an ~94x multiple of 2017E EBITDA (see page 4) while their stock is
down on average ~16 YTD as compared to SampP 500 which is up ~12
Looking ahead considering the descent in sales and profitability throughout the
sector some restaurants can look forward to favorable comparisons against a
weak prior year This may have contributed to the recent modest increase in the
6-month forward business condition outlook amongst restaurant operators (see
page 3) With that said given the uncertainty in the sector the brick-and-mortar
exposure and our expectation of a continued highly competitive environment
we think lenders will remain selective and borrowers may face unfavorable
financing terms (in some cases) especially in the middle market
Consumer preferences
With an overbuilt casual dining segment and limited consumer spending power
due to underwhelming income increases the main approach for many
restaurants to increase sales would be through taking away traffic from its
competitors Resourcefulness and nimbleness amongst management teams will
be key in driving traffic
According to TDn2Krsquos latest Market Share and Industry Growth Report the quick
service and fast casual segments of the market continue to gain market share
through 2Q17 with some of the market share losses coming from family dining
and casual
On a whole basis creating significant value for customers remains difficult The
price of food-away-from-home continues to increase at a much larger pace than
the increase in food prices at home (see figure on page 3) While productivity
improvements continue to help agriculture and wholesale businesses realize
benefits the service (labor) and occupancy costs of the food-away-from-home
segment continues to pressure profitability for restaurants
Technology and data will become an increasingly important factor in the sector
Wersquove covered several companies that have noted its focus on technology-
enhanced delivery and to-go options
Cost-side pressures
With top-line strains some restaurant have relied on promotions and have
stayed away from aggressive menu price increases If restaurants resort to
decreasing menu prices in order to attract traffic margins are unlikely to
improve For this reason we think restaurants will continue to focus on
improving guest experience to draw traffic Along with high rent costs rising
employee turnover rates have been a headwind for restaurant operators with
increasing wages and decreasing unemployment Many cost-side initiatives are
discussed in detail in our tear sheets and credit research reports
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 3
INDUSTRY DATA
The National Restaurant Associationrsquos Restaurant Performance Index is a statistical barometer that measures theoverall health of the US Restaurant Industry This monthly composite index is based on the responses to the NationalRestaurant Associationrsquos monthly Restaurant Industry Tracking Survey which is fielded among restaurant operatorsnationwide on a variety of indicators including sales traffic labor and capital expenditures The RestaurantPerformance Index is composed of two equally-weighted components the Current Situation Index and the ExpectationsIndex For each of the Indices and Indicators a value above 100 signals a period of expansion while a value below 100signals a period of contraction The distance from 100 signifies the magnitude of the expansion or contraction
Source National Restaurant Association
Source National Restaurant Association
230
235
240
245
250
255
260
265
270
275
Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
Ind
ex
19
82
-19
84
=1
00
Mo
nth
ly
Food away from home Index
Food at home Index
Source Federal Reserve Bank of St Louis
1003
10091010
1006
1002
990
992
994
996
998
1000
1002
1004
1006
1008
1010
1012
1014
1016
1018
1020
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
973
986
997
989
977
970972974976978980982984986988990992994996998
100010021004100610081010
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
1010
1008
999
1008
1005
990
992
994
996
998
1000
1002
1004
1006
1008
1010
1012
1014
1016
1018
1020
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
Restaurant Performance Index
Expectations Indicator- Business Conditions (Restaurant operatorsrsquo outlook for general
business conditions for next 6M)
Comparison Price Inflation of Food at Home vs Food Away From Home
Customer Traffic- Restaurant Performance Index
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 4
CompanyEnterprise
Value
LTM
EBITDA
2017E
EBITDA
LTM
EBITDA
Multiple
2017E
EBITDA
Multiple
LTM
Revenue
2017E
Revenue
LTM
Revenue
Multiple
2017E
Revenue
Multiple
Total DebtTotal
LeverageNet Debt
Net
Leverage
Same-restaurant
sales (YoY)
YTD Stock
Performance
Ruby Tuesday Inc 299 30 nm 101x na 925 na 03x na 214 72x 172 58x 31 -347
BJs Restaurants Inc 791 122 125 65x 64x 1023 1059 08x 07x 173 14x 150 12x -14 -239
Buffalo Wild Wings Inc 2038 261 276 78x 74x 2023 2069 10x 10x 430 16x 410 16x -12 -320
The Wendys Company 6186 385 426 161x 145x 1280 1241 48x 50x 2729 71x 2524 65x 32 110
Texas Roadhouse Inc 3366 278 309 121x 109x 21003 2316 16x 15x 525 02x 064 00x 40 03
Bravo Brio Restaurant
Group Inc75 21 25 36x 31x 406 390 02x 02x 387 18x 383 18x -11 -368
El Pollo Loco Holdings Inc 547 62 70 88x 78x 3936 422 14x 13x 949 15x 905 15x 24 -47
Shake Shack Inc 842 50 63 169x 133x 3159 394 27x 21x 112 02x -744 nm -18 -70
Noodles amp Company 232 12 32 187x 73x 4816 457 05x 05x 609 49x 577 47x -34 37
Del Taco Restaurants Inc 750 68 75 111x 99x 4686 490 16x 15x 1618 24x 1568 23x 71 750
Famous Daves of America
Inc 37 3 3 122x 133x 952 83 04x 04x 11 37x 56 19x -30 -101
Ignite Restaurant Group
Inc 119 17 na 70x na 4275 na 03x na 1312 78x 1185 70x -143 -973
Granite City Food amp
Brewery Ltd 62 6 na 98x na 1464 na 04x na 604 94x 553 86x na -501
Average 108x 94x 12x 14x 38x 36x -05 -159
Source CapIQ
COMPS USD m
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 5
TargetTransaction
Status
Total Transaction Value
($USDmm Historical
rate)
BuyersInvestors Sellers MampA Announced Date
Implied Enterprise Value
($USDmm Historical
rate)
Implied
Enterprise
ValueEBITDA (x)
Cheddars Inc Closed 780 Darden Restaurants Inc (NYSEDRI) L Catterton Oak Investment Partners 3272017 780 104x
Bob Evans Farms LLC Closed 565 Golden Gate Capital Bob Evans Farms Inc (NasdaqGSBOBE) 1242017 565 -
Checkers Drive-In Restaurants Inc Closed 525 Oak Hill Capital Partners Sentinel Capital Partners LLC 3232017 525 -
TAO Group LLC Closed 20646The Madison Square Garden Company
(NYSEMSG)- 212017 31506 -
Ninety Nine Restaurant Inc Announced 199 J Alexanders LLC OCharleys Inc 842017 199 66xIgnite Restaurant Group Inc
Substantially All AssetsClosed 17514 Landrys Inc
Ignite Restaurant Group Inc
(OTCPKIRGTQ)8112017 17514 -
Pacific Island Restaurants Inc Closed 105Restaurant Brands New Zealand Limited
(NZSERBD)Nimes Capital LLC 10262016 105 55x
Reins International (USA) Co Ltd Announced 87 REINS international inc - 11252016 87 -
Original Oyster House Inc Closed 1075 Ark Restaurants Corp (NasdaqGMARKR) Premium Properties Inc 11162016 1075 -
Homestyle Dining LLC Announced 105 FAT Brands Inc - 962017 105 -
Osha Restaurants In California Announced 85 Food Capitals (USA) Inc - 4192017 85 -
Fired Up Inc Closed 789 Bluestone Holdings Group LLC - 11232016 789 -
Max Brenner International Inc Effective 5 - Strauss Group Ltd (TASESTRS) 5242017 5 -
Yobe Acquisition LLC Announced 23 ARC Group Inc (OTCPKARCK) - 262017 23 -
Chow Fun Holdings LLC Closed 16 - Jollibee Worldwide Pte Ltd 12232016 199 -
ARC Group Inc (OTCPKARCK) Closed 0556 - - 8242017 142 -
Sammy Ts Inc Closed 081 Fallkos LLC - 11232016 081 -
Jacobys German Biergarten Closed 079 LVT Properties LLC - 1122016 079 -
Lobster Pound Restaurant Inc Announced 07 - - 392017 07 -
The BrewZaa Closed 06 Mikeys Late Night Slice - 11302016 06 -
Seediv LLC Closed 06 ARC Group Inc (OTCPKARCK) - 10242016 06 -
Florentine Restaurant Inc Closed 05 The Robert Weiler Company - 132017 05 -
Average 75x
Source CapIQ
MampA COMPS USDm One Year
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 6
Below is the list of all securities in the Restaurant sector marked below 95 of their fair value from the entire portfolio of 41 largest BDCs in our 2Q17 coverage It also compares the current implied price with that of the last quarter to give perspective on the change in the value of the security and the credit This list is taken from our latest quarterly BDC Monitor report
USD 000s
BDC Borrower Industry Investment Coupon Maturity PrincipalFair
ValueImplied
Price
Previous Quarter Implied
Price
Non-Accrual
Sponsor
Triangle Capital Corporation (TCAP)
Cafe Enterprises Inc RestaurantSubordinated
Note70 Jan-19 14378 10139 705 726 2Q17
TCP Capital Corp (TCPC)
RM OpCo LLC (Real Mex)
RestaurantsSecond Lien Term Loan Tranche B
85 Mar-18 10107 910 90 135
THL Credit Inc (TCRD)Specialty Brands
Holdings LLCRestaurants Second lien debt 107 PIK Dec-17 22131 15491 700 2Q17
Bunker Hill Capital
Ares Capital Corporation (ARCC)
ADF Capital Inc ADF Restaurant Group
LLC and ARG Restaurant Holdings
Inc
Restaurant owner and operator
First lien senior secured loan
Dec-18 39900 11300 283 453
Ares Capital Corporation (ARCC)
Orion Foods LLC Convenience food
service retailerFirst lien senior
secured loanSep-15 1200 500 417 2Q17 One Rock Capital
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Medley Capital Corp (MCC)
Black Angus Steakhouses LLC
Hotel Gaming amp Leisure Revolver LIBOR + 900 100
LIBOR FloorApr-20 268 235 877 869 Versa Capital
Golub Capital BDC Inc (GBDC)
ABP CorporationBeverage Food and
TobaccoSenior loan P + 350 Sep-18 292 275 942 942
Golub Capital BDC Inc (GBDC)
Smashburger Finance LLC
Beverage Food and Tobacco
Senior loan L + 550 May-18 83 78 940
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 7
Date Tracked Borrower Name Instrument Size (USDm) Maturity Coupon Sponsor Lead Lender Purpose
10-Feb-17 Ruthrsquos Hospitality Credit Facility 1000 Jul-22 L + 15 - 225 Wells Fargo Refi
3-Mar-17 Solo Liquor Holdings Term Loan 150 1200 Crown Capital Partners GCP
31-Mar-17 Four Foods Group Credit Facility 227 Aug-22 CIT GCP
2-Jun-17 Sinbad Foods LLC Credit Facility 55 Evanston Partners LLC MB Business Capital LBO
16-Jun-17 Donnelly Group Term Loan 120 CWB Franchise Finance Refi
11-Aug-17 Cream Wine Company Credit Facility 20 North Mill Capital Refi
15-Sep-17 Cafe Rio Inc Credit Facility 1460 Freeman Spogli amp Co Golub Capital LBO
Below is the list of newly issued loans in the restaurant sector (YTD) tracked by Debtwire Middle Marketrsquos Primary Loan Monitor (PLM) report which is published on a monthly basis
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 3
INDUSTRY DATA
The National Restaurant Associationrsquos Restaurant Performance Index is a statistical barometer that measures theoverall health of the US Restaurant Industry This monthly composite index is based on the responses to the NationalRestaurant Associationrsquos monthly Restaurant Industry Tracking Survey which is fielded among restaurant operatorsnationwide on a variety of indicators including sales traffic labor and capital expenditures The RestaurantPerformance Index is composed of two equally-weighted components the Current Situation Index and the ExpectationsIndex For each of the Indices and Indicators a value above 100 signals a period of expansion while a value below 100signals a period of contraction The distance from 100 signifies the magnitude of the expansion or contraction
Source National Restaurant Association
Source National Restaurant Association
230
235
240
245
250
255
260
265
270
275
Jan-12 Jul-12 Jan-13 Jul-13 Jan-14 Jul-14 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17
Ind
ex
19
82
-19
84
=1
00
Mo
nth
ly
Food away from home Index
Food at home Index
Source Federal Reserve Bank of St Louis
1003
10091010
1006
1002
990
992
994
996
998
1000
1002
1004
1006
1008
1010
1012
1014
1016
1018
1020
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
973
986
997
989
977
970972974976978980982984986988990992994996998
100010021004100610081010
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
1010
1008
999
1008
1005
990
992
994
996
998
1000
1002
1004
1006
1008
1010
1012
1014
1016
1018
1020
Apr-17 May-17 Jun-17 Jul-17 Aug-17
RP
I
Restaurant Performance Index
Expectations Indicator- Business Conditions (Restaurant operatorsrsquo outlook for general
business conditions for next 6M)
Comparison Price Inflation of Food at Home vs Food Away From Home
Customer Traffic- Restaurant Performance Index
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 4
CompanyEnterprise
Value
LTM
EBITDA
2017E
EBITDA
LTM
EBITDA
Multiple
2017E
EBITDA
Multiple
LTM
Revenue
2017E
Revenue
LTM
Revenue
Multiple
2017E
Revenue
Multiple
Total DebtTotal
LeverageNet Debt
Net
Leverage
Same-restaurant
sales (YoY)
YTD Stock
Performance
Ruby Tuesday Inc 299 30 nm 101x na 925 na 03x na 214 72x 172 58x 31 -347
BJs Restaurants Inc 791 122 125 65x 64x 1023 1059 08x 07x 173 14x 150 12x -14 -239
Buffalo Wild Wings Inc 2038 261 276 78x 74x 2023 2069 10x 10x 430 16x 410 16x -12 -320
The Wendys Company 6186 385 426 161x 145x 1280 1241 48x 50x 2729 71x 2524 65x 32 110
Texas Roadhouse Inc 3366 278 309 121x 109x 21003 2316 16x 15x 525 02x 064 00x 40 03
Bravo Brio Restaurant
Group Inc75 21 25 36x 31x 406 390 02x 02x 387 18x 383 18x -11 -368
El Pollo Loco Holdings Inc 547 62 70 88x 78x 3936 422 14x 13x 949 15x 905 15x 24 -47
Shake Shack Inc 842 50 63 169x 133x 3159 394 27x 21x 112 02x -744 nm -18 -70
Noodles amp Company 232 12 32 187x 73x 4816 457 05x 05x 609 49x 577 47x -34 37
Del Taco Restaurants Inc 750 68 75 111x 99x 4686 490 16x 15x 1618 24x 1568 23x 71 750
Famous Daves of America
Inc 37 3 3 122x 133x 952 83 04x 04x 11 37x 56 19x -30 -101
Ignite Restaurant Group
Inc 119 17 na 70x na 4275 na 03x na 1312 78x 1185 70x -143 -973
Granite City Food amp
Brewery Ltd 62 6 na 98x na 1464 na 04x na 604 94x 553 86x na -501
Average 108x 94x 12x 14x 38x 36x -05 -159
Source CapIQ
COMPS USD m
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 5
TargetTransaction
Status
Total Transaction Value
($USDmm Historical
rate)
BuyersInvestors Sellers MampA Announced Date
Implied Enterprise Value
($USDmm Historical
rate)
Implied
Enterprise
ValueEBITDA (x)
Cheddars Inc Closed 780 Darden Restaurants Inc (NYSEDRI) L Catterton Oak Investment Partners 3272017 780 104x
Bob Evans Farms LLC Closed 565 Golden Gate Capital Bob Evans Farms Inc (NasdaqGSBOBE) 1242017 565 -
Checkers Drive-In Restaurants Inc Closed 525 Oak Hill Capital Partners Sentinel Capital Partners LLC 3232017 525 -
TAO Group LLC Closed 20646The Madison Square Garden Company
(NYSEMSG)- 212017 31506 -
Ninety Nine Restaurant Inc Announced 199 J Alexanders LLC OCharleys Inc 842017 199 66xIgnite Restaurant Group Inc
Substantially All AssetsClosed 17514 Landrys Inc
Ignite Restaurant Group Inc
(OTCPKIRGTQ)8112017 17514 -
Pacific Island Restaurants Inc Closed 105Restaurant Brands New Zealand Limited
(NZSERBD)Nimes Capital LLC 10262016 105 55x
Reins International (USA) Co Ltd Announced 87 REINS international inc - 11252016 87 -
Original Oyster House Inc Closed 1075 Ark Restaurants Corp (NasdaqGMARKR) Premium Properties Inc 11162016 1075 -
Homestyle Dining LLC Announced 105 FAT Brands Inc - 962017 105 -
Osha Restaurants In California Announced 85 Food Capitals (USA) Inc - 4192017 85 -
Fired Up Inc Closed 789 Bluestone Holdings Group LLC - 11232016 789 -
Max Brenner International Inc Effective 5 - Strauss Group Ltd (TASESTRS) 5242017 5 -
Yobe Acquisition LLC Announced 23 ARC Group Inc (OTCPKARCK) - 262017 23 -
Chow Fun Holdings LLC Closed 16 - Jollibee Worldwide Pte Ltd 12232016 199 -
ARC Group Inc (OTCPKARCK) Closed 0556 - - 8242017 142 -
Sammy Ts Inc Closed 081 Fallkos LLC - 11232016 081 -
Jacobys German Biergarten Closed 079 LVT Properties LLC - 1122016 079 -
Lobster Pound Restaurant Inc Announced 07 - - 392017 07 -
The BrewZaa Closed 06 Mikeys Late Night Slice - 11302016 06 -
Seediv LLC Closed 06 ARC Group Inc (OTCPKARCK) - 10242016 06 -
Florentine Restaurant Inc Closed 05 The Robert Weiler Company - 132017 05 -
Average 75x
Source CapIQ
MampA COMPS USDm One Year
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 6
Below is the list of all securities in the Restaurant sector marked below 95 of their fair value from the entire portfolio of 41 largest BDCs in our 2Q17 coverage It also compares the current implied price with that of the last quarter to give perspective on the change in the value of the security and the credit This list is taken from our latest quarterly BDC Monitor report
USD 000s
BDC Borrower Industry Investment Coupon Maturity PrincipalFair
ValueImplied
Price
Previous Quarter Implied
Price
Non-Accrual
Sponsor
Triangle Capital Corporation (TCAP)
Cafe Enterprises Inc RestaurantSubordinated
Note70 Jan-19 14378 10139 705 726 2Q17
TCP Capital Corp (TCPC)
RM OpCo LLC (Real Mex)
RestaurantsSecond Lien Term Loan Tranche B
85 Mar-18 10107 910 90 135
THL Credit Inc (TCRD)Specialty Brands
Holdings LLCRestaurants Second lien debt 107 PIK Dec-17 22131 15491 700 2Q17
Bunker Hill Capital
Ares Capital Corporation (ARCC)
ADF Capital Inc ADF Restaurant Group
LLC and ARG Restaurant Holdings
Inc
Restaurant owner and operator
First lien senior secured loan
Dec-18 39900 11300 283 453
Ares Capital Corporation (ARCC)
Orion Foods LLC Convenience food
service retailerFirst lien senior
secured loanSep-15 1200 500 417 2Q17 One Rock Capital
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Medley Capital Corp (MCC)
Black Angus Steakhouses LLC
Hotel Gaming amp Leisure Revolver LIBOR + 900 100
LIBOR FloorApr-20 268 235 877 869 Versa Capital
Golub Capital BDC Inc (GBDC)
ABP CorporationBeverage Food and
TobaccoSenior loan P + 350 Sep-18 292 275 942 942
Golub Capital BDC Inc (GBDC)
Smashburger Finance LLC
Beverage Food and Tobacco
Senior loan L + 550 May-18 83 78 940
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 7
Date Tracked Borrower Name Instrument Size (USDm) Maturity Coupon Sponsor Lead Lender Purpose
10-Feb-17 Ruthrsquos Hospitality Credit Facility 1000 Jul-22 L + 15 - 225 Wells Fargo Refi
3-Mar-17 Solo Liquor Holdings Term Loan 150 1200 Crown Capital Partners GCP
31-Mar-17 Four Foods Group Credit Facility 227 Aug-22 CIT GCP
2-Jun-17 Sinbad Foods LLC Credit Facility 55 Evanston Partners LLC MB Business Capital LBO
16-Jun-17 Donnelly Group Term Loan 120 CWB Franchise Finance Refi
11-Aug-17 Cream Wine Company Credit Facility 20 North Mill Capital Refi
15-Sep-17 Cafe Rio Inc Credit Facility 1460 Freeman Spogli amp Co Golub Capital LBO
Below is the list of newly issued loans in the restaurant sector (YTD) tracked by Debtwire Middle Marketrsquos Primary Loan Monitor (PLM) report which is published on a monthly basis
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 4
CompanyEnterprise
Value
LTM
EBITDA
2017E
EBITDA
LTM
EBITDA
Multiple
2017E
EBITDA
Multiple
LTM
Revenue
2017E
Revenue
LTM
Revenue
Multiple
2017E
Revenue
Multiple
Total DebtTotal
LeverageNet Debt
Net
Leverage
Same-restaurant
sales (YoY)
YTD Stock
Performance
Ruby Tuesday Inc 299 30 nm 101x na 925 na 03x na 214 72x 172 58x 31 -347
BJs Restaurants Inc 791 122 125 65x 64x 1023 1059 08x 07x 173 14x 150 12x -14 -239
Buffalo Wild Wings Inc 2038 261 276 78x 74x 2023 2069 10x 10x 430 16x 410 16x -12 -320
The Wendys Company 6186 385 426 161x 145x 1280 1241 48x 50x 2729 71x 2524 65x 32 110
Texas Roadhouse Inc 3366 278 309 121x 109x 21003 2316 16x 15x 525 02x 064 00x 40 03
Bravo Brio Restaurant
Group Inc75 21 25 36x 31x 406 390 02x 02x 387 18x 383 18x -11 -368
El Pollo Loco Holdings Inc 547 62 70 88x 78x 3936 422 14x 13x 949 15x 905 15x 24 -47
Shake Shack Inc 842 50 63 169x 133x 3159 394 27x 21x 112 02x -744 nm -18 -70
Noodles amp Company 232 12 32 187x 73x 4816 457 05x 05x 609 49x 577 47x -34 37
Del Taco Restaurants Inc 750 68 75 111x 99x 4686 490 16x 15x 1618 24x 1568 23x 71 750
Famous Daves of America
Inc 37 3 3 122x 133x 952 83 04x 04x 11 37x 56 19x -30 -101
Ignite Restaurant Group
Inc 119 17 na 70x na 4275 na 03x na 1312 78x 1185 70x -143 -973
Granite City Food amp
Brewery Ltd 62 6 na 98x na 1464 na 04x na 604 94x 553 86x na -501
Average 108x 94x 12x 14x 38x 36x -05 -159
Source CapIQ
COMPS USD m
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 5
TargetTransaction
Status
Total Transaction Value
($USDmm Historical
rate)
BuyersInvestors Sellers MampA Announced Date
Implied Enterprise Value
($USDmm Historical
rate)
Implied
Enterprise
ValueEBITDA (x)
Cheddars Inc Closed 780 Darden Restaurants Inc (NYSEDRI) L Catterton Oak Investment Partners 3272017 780 104x
Bob Evans Farms LLC Closed 565 Golden Gate Capital Bob Evans Farms Inc (NasdaqGSBOBE) 1242017 565 -
Checkers Drive-In Restaurants Inc Closed 525 Oak Hill Capital Partners Sentinel Capital Partners LLC 3232017 525 -
TAO Group LLC Closed 20646The Madison Square Garden Company
(NYSEMSG)- 212017 31506 -
Ninety Nine Restaurant Inc Announced 199 J Alexanders LLC OCharleys Inc 842017 199 66xIgnite Restaurant Group Inc
Substantially All AssetsClosed 17514 Landrys Inc
Ignite Restaurant Group Inc
(OTCPKIRGTQ)8112017 17514 -
Pacific Island Restaurants Inc Closed 105Restaurant Brands New Zealand Limited
(NZSERBD)Nimes Capital LLC 10262016 105 55x
Reins International (USA) Co Ltd Announced 87 REINS international inc - 11252016 87 -
Original Oyster House Inc Closed 1075 Ark Restaurants Corp (NasdaqGMARKR) Premium Properties Inc 11162016 1075 -
Homestyle Dining LLC Announced 105 FAT Brands Inc - 962017 105 -
Osha Restaurants In California Announced 85 Food Capitals (USA) Inc - 4192017 85 -
Fired Up Inc Closed 789 Bluestone Holdings Group LLC - 11232016 789 -
Max Brenner International Inc Effective 5 - Strauss Group Ltd (TASESTRS) 5242017 5 -
Yobe Acquisition LLC Announced 23 ARC Group Inc (OTCPKARCK) - 262017 23 -
Chow Fun Holdings LLC Closed 16 - Jollibee Worldwide Pte Ltd 12232016 199 -
ARC Group Inc (OTCPKARCK) Closed 0556 - - 8242017 142 -
Sammy Ts Inc Closed 081 Fallkos LLC - 11232016 081 -
Jacobys German Biergarten Closed 079 LVT Properties LLC - 1122016 079 -
Lobster Pound Restaurant Inc Announced 07 - - 392017 07 -
The BrewZaa Closed 06 Mikeys Late Night Slice - 11302016 06 -
Seediv LLC Closed 06 ARC Group Inc (OTCPKARCK) - 10242016 06 -
Florentine Restaurant Inc Closed 05 The Robert Weiler Company - 132017 05 -
Average 75x
Source CapIQ
MampA COMPS USDm One Year
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 6
Below is the list of all securities in the Restaurant sector marked below 95 of their fair value from the entire portfolio of 41 largest BDCs in our 2Q17 coverage It also compares the current implied price with that of the last quarter to give perspective on the change in the value of the security and the credit This list is taken from our latest quarterly BDC Monitor report
USD 000s
BDC Borrower Industry Investment Coupon Maturity PrincipalFair
ValueImplied
Price
Previous Quarter Implied
Price
Non-Accrual
Sponsor
Triangle Capital Corporation (TCAP)
Cafe Enterprises Inc RestaurantSubordinated
Note70 Jan-19 14378 10139 705 726 2Q17
TCP Capital Corp (TCPC)
RM OpCo LLC (Real Mex)
RestaurantsSecond Lien Term Loan Tranche B
85 Mar-18 10107 910 90 135
THL Credit Inc (TCRD)Specialty Brands
Holdings LLCRestaurants Second lien debt 107 PIK Dec-17 22131 15491 700 2Q17
Bunker Hill Capital
Ares Capital Corporation (ARCC)
ADF Capital Inc ADF Restaurant Group
LLC and ARG Restaurant Holdings
Inc
Restaurant owner and operator
First lien senior secured loan
Dec-18 39900 11300 283 453
Ares Capital Corporation (ARCC)
Orion Foods LLC Convenience food
service retailerFirst lien senior
secured loanSep-15 1200 500 417 2Q17 One Rock Capital
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Medley Capital Corp (MCC)
Black Angus Steakhouses LLC
Hotel Gaming amp Leisure Revolver LIBOR + 900 100
LIBOR FloorApr-20 268 235 877 869 Versa Capital
Golub Capital BDC Inc (GBDC)
ABP CorporationBeverage Food and
TobaccoSenior loan P + 350 Sep-18 292 275 942 942
Golub Capital BDC Inc (GBDC)
Smashburger Finance LLC
Beverage Food and Tobacco
Senior loan L + 550 May-18 83 78 940
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 7
Date Tracked Borrower Name Instrument Size (USDm) Maturity Coupon Sponsor Lead Lender Purpose
10-Feb-17 Ruthrsquos Hospitality Credit Facility 1000 Jul-22 L + 15 - 225 Wells Fargo Refi
3-Mar-17 Solo Liquor Holdings Term Loan 150 1200 Crown Capital Partners GCP
31-Mar-17 Four Foods Group Credit Facility 227 Aug-22 CIT GCP
2-Jun-17 Sinbad Foods LLC Credit Facility 55 Evanston Partners LLC MB Business Capital LBO
16-Jun-17 Donnelly Group Term Loan 120 CWB Franchise Finance Refi
11-Aug-17 Cream Wine Company Credit Facility 20 North Mill Capital Refi
15-Sep-17 Cafe Rio Inc Credit Facility 1460 Freeman Spogli amp Co Golub Capital LBO
Below is the list of newly issued loans in the restaurant sector (YTD) tracked by Debtwire Middle Marketrsquos Primary Loan Monitor (PLM) report which is published on a monthly basis
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 5
TargetTransaction
Status
Total Transaction Value
($USDmm Historical
rate)
BuyersInvestors Sellers MampA Announced Date
Implied Enterprise Value
($USDmm Historical
rate)
Implied
Enterprise
ValueEBITDA (x)
Cheddars Inc Closed 780 Darden Restaurants Inc (NYSEDRI) L Catterton Oak Investment Partners 3272017 780 104x
Bob Evans Farms LLC Closed 565 Golden Gate Capital Bob Evans Farms Inc (NasdaqGSBOBE) 1242017 565 -
Checkers Drive-In Restaurants Inc Closed 525 Oak Hill Capital Partners Sentinel Capital Partners LLC 3232017 525 -
TAO Group LLC Closed 20646The Madison Square Garden Company
(NYSEMSG)- 212017 31506 -
Ninety Nine Restaurant Inc Announced 199 J Alexanders LLC OCharleys Inc 842017 199 66xIgnite Restaurant Group Inc
Substantially All AssetsClosed 17514 Landrys Inc
Ignite Restaurant Group Inc
(OTCPKIRGTQ)8112017 17514 -
Pacific Island Restaurants Inc Closed 105Restaurant Brands New Zealand Limited
(NZSERBD)Nimes Capital LLC 10262016 105 55x
Reins International (USA) Co Ltd Announced 87 REINS international inc - 11252016 87 -
Original Oyster House Inc Closed 1075 Ark Restaurants Corp (NasdaqGMARKR) Premium Properties Inc 11162016 1075 -
Homestyle Dining LLC Announced 105 FAT Brands Inc - 962017 105 -
Osha Restaurants In California Announced 85 Food Capitals (USA) Inc - 4192017 85 -
Fired Up Inc Closed 789 Bluestone Holdings Group LLC - 11232016 789 -
Max Brenner International Inc Effective 5 - Strauss Group Ltd (TASESTRS) 5242017 5 -
Yobe Acquisition LLC Announced 23 ARC Group Inc (OTCPKARCK) - 262017 23 -
Chow Fun Holdings LLC Closed 16 - Jollibee Worldwide Pte Ltd 12232016 199 -
ARC Group Inc (OTCPKARCK) Closed 0556 - - 8242017 142 -
Sammy Ts Inc Closed 081 Fallkos LLC - 11232016 081 -
Jacobys German Biergarten Closed 079 LVT Properties LLC - 1122016 079 -
Lobster Pound Restaurant Inc Announced 07 - - 392017 07 -
The BrewZaa Closed 06 Mikeys Late Night Slice - 11302016 06 -
Seediv LLC Closed 06 ARC Group Inc (OTCPKARCK) - 10242016 06 -
Florentine Restaurant Inc Closed 05 The Robert Weiler Company - 132017 05 -
Average 75x
Source CapIQ
MampA COMPS USDm One Year
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 6
Below is the list of all securities in the Restaurant sector marked below 95 of their fair value from the entire portfolio of 41 largest BDCs in our 2Q17 coverage It also compares the current implied price with that of the last quarter to give perspective on the change in the value of the security and the credit This list is taken from our latest quarterly BDC Monitor report
USD 000s
BDC Borrower Industry Investment Coupon Maturity PrincipalFair
ValueImplied
Price
Previous Quarter Implied
Price
Non-Accrual
Sponsor
Triangle Capital Corporation (TCAP)
Cafe Enterprises Inc RestaurantSubordinated
Note70 Jan-19 14378 10139 705 726 2Q17
TCP Capital Corp (TCPC)
RM OpCo LLC (Real Mex)
RestaurantsSecond Lien Term Loan Tranche B
85 Mar-18 10107 910 90 135
THL Credit Inc (TCRD)Specialty Brands
Holdings LLCRestaurants Second lien debt 107 PIK Dec-17 22131 15491 700 2Q17
Bunker Hill Capital
Ares Capital Corporation (ARCC)
ADF Capital Inc ADF Restaurant Group
LLC and ARG Restaurant Holdings
Inc
Restaurant owner and operator
First lien senior secured loan
Dec-18 39900 11300 283 453
Ares Capital Corporation (ARCC)
Orion Foods LLC Convenience food
service retailerFirst lien senior
secured loanSep-15 1200 500 417 2Q17 One Rock Capital
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Medley Capital Corp (MCC)
Black Angus Steakhouses LLC
Hotel Gaming amp Leisure Revolver LIBOR + 900 100
LIBOR FloorApr-20 268 235 877 869 Versa Capital
Golub Capital BDC Inc (GBDC)
ABP CorporationBeverage Food and
TobaccoSenior loan P + 350 Sep-18 292 275 942 942
Golub Capital BDC Inc (GBDC)
Smashburger Finance LLC
Beverage Food and Tobacco
Senior loan L + 550 May-18 83 78 940
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 7
Date Tracked Borrower Name Instrument Size (USDm) Maturity Coupon Sponsor Lead Lender Purpose
10-Feb-17 Ruthrsquos Hospitality Credit Facility 1000 Jul-22 L + 15 - 225 Wells Fargo Refi
3-Mar-17 Solo Liquor Holdings Term Loan 150 1200 Crown Capital Partners GCP
31-Mar-17 Four Foods Group Credit Facility 227 Aug-22 CIT GCP
2-Jun-17 Sinbad Foods LLC Credit Facility 55 Evanston Partners LLC MB Business Capital LBO
16-Jun-17 Donnelly Group Term Loan 120 CWB Franchise Finance Refi
11-Aug-17 Cream Wine Company Credit Facility 20 North Mill Capital Refi
15-Sep-17 Cafe Rio Inc Credit Facility 1460 Freeman Spogli amp Co Golub Capital LBO
Below is the list of newly issued loans in the restaurant sector (YTD) tracked by Debtwire Middle Marketrsquos Primary Loan Monitor (PLM) report which is published on a monthly basis
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 6
Below is the list of all securities in the Restaurant sector marked below 95 of their fair value from the entire portfolio of 41 largest BDCs in our 2Q17 coverage It also compares the current implied price with that of the last quarter to give perspective on the change in the value of the security and the credit This list is taken from our latest quarterly BDC Monitor report
USD 000s
BDC Borrower Industry Investment Coupon Maturity PrincipalFair
ValueImplied
Price
Previous Quarter Implied
Price
Non-Accrual
Sponsor
Triangle Capital Corporation (TCAP)
Cafe Enterprises Inc RestaurantSubordinated
Note70 Jan-19 14378 10139 705 726 2Q17
TCP Capital Corp (TCPC)
RM OpCo LLC (Real Mex)
RestaurantsSecond Lien Term Loan Tranche B
85 Mar-18 10107 910 90 135
THL Credit Inc (TCRD)Specialty Brands
Holdings LLCRestaurants Second lien debt 107 PIK Dec-17 22131 15491 700 2Q17
Bunker Hill Capital
Ares Capital Corporation (ARCC)
ADF Capital Inc ADF Restaurant Group
LLC and ARG Restaurant Holdings
Inc
Restaurant owner and operator
First lien senior secured loan
Dec-18 39900 11300 283 453
Ares Capital Corporation (ARCC)
Orion Foods LLC Convenience food
service retailerFirst lien senior
secured loanSep-15 1200 500 417 2Q17 One Rock Capital
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Apollo Investment Corporation (AINV)
GFRC Holdings LLCHotel Gaming Leisure
RestaurantsFirst Lien
Secured Debt
1050 (1M L+900 Cash (L+900 PIK
Toggle) 150 Floor)Feb-22 2500 2375 950 830
Frazier Healthcare and New
Enterprise Associates
Medley Capital Corp (MCC)
Black Angus Steakhouses LLC
Hotel Gaming amp Leisure Revolver LIBOR + 900 100
LIBOR FloorApr-20 268 235 877 869 Versa Capital
Golub Capital BDC Inc (GBDC)
ABP CorporationBeverage Food and
TobaccoSenior loan P + 350 Sep-18 292 275 942 942
Golub Capital BDC Inc (GBDC)
Smashburger Finance LLC
Beverage Food and Tobacco
Senior loan L + 550 May-18 83 78 940
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 7
Date Tracked Borrower Name Instrument Size (USDm) Maturity Coupon Sponsor Lead Lender Purpose
10-Feb-17 Ruthrsquos Hospitality Credit Facility 1000 Jul-22 L + 15 - 225 Wells Fargo Refi
3-Mar-17 Solo Liquor Holdings Term Loan 150 1200 Crown Capital Partners GCP
31-Mar-17 Four Foods Group Credit Facility 227 Aug-22 CIT GCP
2-Jun-17 Sinbad Foods LLC Credit Facility 55 Evanston Partners LLC MB Business Capital LBO
16-Jun-17 Donnelly Group Term Loan 120 CWB Franchise Finance Refi
11-Aug-17 Cream Wine Company Credit Facility 20 North Mill Capital Refi
15-Sep-17 Cafe Rio Inc Credit Facility 1460 Freeman Spogli amp Co Golub Capital LBO
Below is the list of newly issued loans in the restaurant sector (YTD) tracked by Debtwire Middle Marketrsquos Primary Loan Monitor (PLM) report which is published on a monthly basis
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 7
Date Tracked Borrower Name Instrument Size (USDm) Maturity Coupon Sponsor Lead Lender Purpose
10-Feb-17 Ruthrsquos Hospitality Credit Facility 1000 Jul-22 L + 15 - 225 Wells Fargo Refi
3-Mar-17 Solo Liquor Holdings Term Loan 150 1200 Crown Capital Partners GCP
31-Mar-17 Four Foods Group Credit Facility 227 Aug-22 CIT GCP
2-Jun-17 Sinbad Foods LLC Credit Facility 55 Evanston Partners LLC MB Business Capital LBO
16-Jun-17 Donnelly Group Term Loan 120 CWB Franchise Finance Refi
11-Aug-17 Cream Wine Company Credit Facility 20 North Mill Capital Refi
15-Sep-17 Cafe Rio Inc Credit Facility 1460 Freeman Spogli amp Co Golub Capital LBO
Below is the list of newly issued loans in the restaurant sector (YTD) tracked by Debtwire Middle Marketrsquos Primary Loan Monitor (PLM) report which is published on a monthly basis
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 8
BDC FOOD INDUSTRY DATA FROM DEBTWIRErsquoS BDC QUARTERLY TRENDS amp ANALYSIS (QTA) REPORT
First Lien Entrances Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
Data is from the 41 BDCs under Debtwire coverageSource Debtwire SEC filings
First Lien Exits Total Principal and Deal Count in FoodRestaurants 1Q17 amp 2Q17 (USD 000s)
79
50 55 60 65 70 75 80 85
Average First Lien Cash Coupon (Entrances) FoodRestaurants YTD 2Q17
936
800 850 900 950 1000
Average First Lien Exit Price (Fair ValuePrincipal) FoodRestaurants YTD 2Q17
149607
13750
10
3
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
174610
108970
78
0
20000
40000
60000
80000
100000
120000
140000
160000
180000
1Q17 2Q17
0
2
4
6
8
10
12Sum of Principal Deal Count
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 9
Ruby Tuesday (RT)
bull Headquartered in a Tennessee US-based Ruby Tuesday Inc is foodservice retailer that operates Ruby Tuesdayreg casual dining and Lime Fresh Mexican Grillreg (lsquoLime Freshrsquo) restaurants
bull On 26 May 2017 RT entered into a new 364-day USD 20m senior secured revolving credit facility with UBS AG
Bravo Brio Restaurant Group Inc (BBRG)
bull Headquartered in Ohio US-based Bravo Brio Restaurant Group Inc operates 117 restaurants including 51 Bravo restaurants 65 Brio Tuscan Grill and one Bon Vie restaurant
bull After successful negotiations with its lenders the company received a waiver relating to its covenant breach amidst comp restaurant sales declines Its lenders pushed up its maturity to December 2018 from November 2019
Click Here for Debtwire Coverage
Select Debtwire Middle Market Coverage
Click Here for Debtwire Coverage
Ignite Restaurant Group Inc (IRGTQ- OTC)
bull Ignite Restaurant Group operator of the Joersquos Crab Shack and Brick House chains sold its assets to Landryrsquos Inc after filing bankruptcy earlier this yearbull Ignite had been experiencing declines in the top-line and a decrease in profitability After attempting to expand its footprint the company made an effort to close
poorly performing stores However its refinancingstrategic alternatives process did not bear fruit
Famous Daves of America Inc (DAVE)
bull Headquartered in Minnesota Famous Daves of America Inc operates a chain of barbeque restaurantsbull On 2 May 2017 DAVE announced a refranchising and restaurant optimization plan to reduce its real estate footprint for next 12 to 24 months
Click Here for Debtwire Coverage
Click Here for Debtwire Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
Restaurants Food amp Beverage Industry Report
October 2017
Page 10
Granite City Food amp Brewery Ltd
Click Here for Debtwire Coverage
bull Headquartered in Minnesota US-based Granite City Food and Brewery Ltd operates 35 Granite City restaurants in 14 states and five Cadillac Ranch restaurants in five states
bull The company has been experiencing declines in its topline and was negotiating with its bank lender regarding its forbearance
Continuedhellip Select Debtwire Middle Market Coverage
October 2017
Click Here for Debtwire Middle Market RestaurantFood Industry Editorial Coverage
Inventure Foods (SNAK)
Click Here for Debtwire Coverage
bull Inventure Foods Inc a marketer and manufacturer of snack foods which received a waiver from its lenders related to its noncompliance with its covenantsbull The company has USD 97m in secured debt with just USD 47m in LTM EBITDA as of 20 July As of 20 July the company had only USD 99m in liquiditybull Subsequent to our last tear sheet SNAK sold its Frozen Division for cash proceeds of USD 50m to be used to repay its revolver and pay down debt under its term
loan
Colabor Group Inc (GCL)
Click Here for Debtwire Coverage
bull Headquartered in Quebec Colabor Group Inc (GCL) is a leading wholesaler and distributor of food and related productsbull In October 2016 the company competed a recapitalization transaction
Related (Food amp Beverage) Debtwire Middle Market Coverage
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris Company
Debtwirecom
October 2017
Restaurants Food amp Beverage Industry Report
Contacts
Debtwire Middle Market Editorial Debtwire Middle Market Research Sales
Jon Berke Middle Market Editor Debtwire North America+1 212 686 2741 jonberkeacuriscom
Suneet Chandvani Head of Mid-Market Research+1 646 378 3170 suneetchandvaniacuriscom
Jonathan Reed Managing Director+1 212 686 5418 jonathanreedacuriscom
Bill Weisbrod Reporter+1 212-500-1399 billweisbrodacuriscom
Alex Federbusch Analyst+1 212 500 7554 alexfederbuschacuriscom
Natasha Brooks Head of Fixed Income Sales Americas +1 212 686 5340 natashabrooksacuriscom
Rachel Butt Energy Reporter+1 212-500-1387 rachelbuttacuriscom
Amol Shinde Analyst+91-22-62351532 amolshindeacuriscom
Tanvi Acharya Reporter+1 646-378-3142 tanviacharyaacuriscom
Rahul Ramaswamy Analyst+91-22-62351533 RahulRamaswamyacuriscom
Page 11
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence
Debtwirecom
An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report An Acuris CompanyOctober 2017
Restaurants Food amp Beverage Industry Report
Debtwirecom
Debtwire reports on corporate debt situations before credit ratings are changed Offering unique insights credit analysis debt data and analytics for distressed debt and leveraged finance markets
Subscribers choose Debtwire for speed and depth of coverage they canrsquot get anywhere else Our reporters talk to an impressive range of contacts every day to bring you valuable early insight into fast evolving situations
To complement your newsfeed Debtwirersquos credit analysis and research teams provide deep technical details and angles that help you understand situations more clearly
Follow corporate debt situations as they unfold
Find mandate opportunities in stressed distressedrestructuring situations ahead of the market
Get real-time news on market-moving events sent to your mobile or email
Get the full story on restructurings and the players involved
Understand how regulatory developments are affecting asset-backed securities
Capture early stage primary opportunities and stay on top of the leveraged market
EMEA10 Queen Street PlaceLondonEC4R 1BEUnited Kingdom+44 203 741 1000salesacuriscom
AsiaSuite 1602-6Grand Millennium Plaza 181 Queenrsquos Road Central Hong Kong+ 612 9002 3131salesasiaacuriscom
Americas330 Hudson St 4th FloorNew York NY 10013 USA+1 212 500 7537salesusacuriscom
Disclaimer
We have obtained the information provided in this report in good faith from sources that we consider to be reliable but we do not independently verify the information The information is not intended to provide tax legal or investment advice We shall not be liable for any mistakes errors inaccuracies or omissions in or incompleteness of any information contained in this report All such liability is excluded to the fullest extent permitted by law Data has been derived from company reports press releases presentations and Debtwire intelligence