Business
MTY enters into an agreement to acquire 60% of Big Smoke Burger
TSX Trading Symbol: "MTY"   MONTREAL , Aug. 19, 2015 /CNW Telbec/ - MTY Food Group...
About this update from Mty Food Group Inc.
[{"type":"text","content":"\n\nTSX Trading Symbol: \"MTY\"  \n\n\n\nMONTREAL, Aug. 19, 2015 /CNW Telbec/ - MTY Food Group Inc. (\"MTY\" or the \"Company\") (TSX: MTY), franchisor and operator of multiple concepts of quick service restaurants, announced today that its wholly-owned subsidiary MTY Tiki Ming Enterprises Inc. has reached a binding agreement to acquire 60% of Big Smoke Burger (www.bigsmokeburger.com).  The consideration for the transaction is expected to be $3 million, paid from MTY's cash on hand.\n\nThere are totally 17 Big Smoke Burger (\"Big Smoke\") in operations presently, including 9 stores in Canada, 4 of which are corporately-owned, 8 stores in the US and overseas and an additional 6 stores that are pending and are expected to open within 12 months of closing. During the last twelve months, the network of Big Smoke has generated sales of over $14 million.  Big Smoke prides itself as providing the best quality burger experience imaginable, serving hand-made food prepared only with fresh ingredients.\n\n\"Gourmet burger is a rapidly expanding segment of the food industry, and Big Smoke is undeniably one of the leaders of this segment\", said Stanley Ma, CEO of MTY.  \"We are really excited to have the opportunity to team up with Big Smoke to expand our presence in the high-growth, \"artisan better burger\" segment\".\n\nMustafa Yusuf, the current owner and president of Big Smoke, will retain 40% of the company.  He will continue in his functions following the conclusion of the transaction.\n\nThe closing of the transaction is scheduled to happen in September 2015 and remains subject to several closing conditions as well as to standard regulatory approvals.  Following the closing of the transaction, the operations will be relocated to MTY's offices in Richmond Hill, Ontario.  \n\nCertain information in this News Release may constitute \"forward-looking\" information that involves known and unknown risks, uncertainties, future expectations and other factors which may cause the actual results, performance or achievements of the Company or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. When used in this News Release, this information may include words such as \"anticipate\", \"estimate\", \"may\", \"...