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MTY enters into an agreement to acquire the shares of Kahala Brands Ltd.
MTY enters into an agreement to acquire the shares of Kahala Brands Ltd. MTY enter...
About this update from Mty Food Group Inc.
[{"type":"text","content":"\n\n\n\nMTY enters into an agreement to acquire the shares of Kahala Brands Ltd.\n\n/* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n\n\n\n\n\n\nMTY enters into an agreement to acquire the shares of Kahala Brands Ltd.\nCanada NewsWire\nMONTREAL, May 25, 2016\n\n\n\nTSX Trading Symbol: \"MTY\"\n\n\n\nMONTREAL, May 25, 2016 /CNW Telbec/ - MTY Food Group Inc. (\"MTY\" or the \"Company\") (TSX: MTY) announced today that it has signed an agreement to acquire the shares of Kahala Brands, Ltd. (\"Kahala\") (www.kahalamgmt.com) pursuant to the merger of a wholly-owned subsidiary of the Company with and into Kahala in accordance with the terms and conditions of such agreement.\n\nStanley Ma, Chair of the Board and Chief Executive Officer of MTY, said: \"This is one of the most important days in the history of MTY, being able to acquire a great portfolio of brands managed by among the very best people in the industry.  MTY had been searching for the right foundation for its US expansion for the last three years, and it has finally found the perfect match.  The combination of the two companies' portfolio and expertise will produce tremendous opportunities in Canada, in the United States and worldwide.\"\n\nMichael Serruya, Chairman and Chief Executive Officer of Kahala said: \"My brothers and I have known Stanley Ma for many years.  He is an extremely competent, and professional CEO, who successfully leads an outstanding Company.  The merger of Kahala and MTY in my opinion is in the best interests of all Kahala's shareholders, our outstanding employees, franchisees, suppliers, and the entire Kahala community.\"\n\nTransaction and rationale\n\nKahala currently franchises and operates approximately 2,800 stores worldwide, under 18 brands in 25 countries.  Kahala's network generates annual system sales of over C$950 million.   Kahala's operations are a natural fit for MTY given the similarity of the companies' operations.  Both companies operate a very scalable multi-brand franchised network, generate high EBITDA margins and maximize EBITDA conversion into free...