CIC Partners Announces Three Successful Realizations in Restaurant Industry

CIC Partners completed the sale of its interest to management in Buffet Partners LP in August 2006. Buffet Partners is the operator of Furr’s and family-style buffet restaurants and Dynamic food manufacturing and distribution facility. After acquiring the company from bankruptcy in late 2003, CIC and the management team successfully opened several new large format scatter-bar buffets, completed a sale/leaseback transaction and paid down acquisition debt, thereby allowing management to recap the company and buyout CIC’s equity stake. The resulting transaction provided CIC with a 3.0x return on its investment.

Main Street Restaurant Group (Nasdaq: MAIN), the largest franchisee of T.G.I Friday’s restaurants, was successfully sold to a strategic buyer, The Briad Group, in a take-private transaction in July 2006. During CIC Partners’ ownership period, Main Street successfully restarted new unit development, refinanced its debt structure, and substantially improved comparable store sales and margins. As a result, the transaction provided an attractive return to all shareholders of 3.4x the investment.

CIC Partners divested its interest in Quiznos, the second largest sandwich chain in the U.S., as part of a recapitalization of the company led by JP Morgan Partners in May 2006. CIC provided strategic guidance to the company’s founder and CEO during its investment period and assisted the company in the most recent recap transaction, resulting in an attractive return to CIC, although details on the investment cannot be disclosed.

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