Brinker completes 'On The Border' sale
July 1, 2010
by Meat&Poultry Staff
DALLAS – Brinker International Inc. have closed the previously announced sale of On The Border Mexican Grill & Cantina to OTB Acquisition LLC, an affiliate of San Francisco-based Golden Gate Capital. Gross proceeds for the transaction total $180 million, which will be adjusted for deal costs and customary closing fees.
Brinker expects to record a gain on the transaction and will generate additional fees from transitional support services provided to On The Border for up to one year. Proceeds from the sale will be used to repurchase shares.
"The closing of the On The Border transaction marks another achievement in our long-term plan as discussed at our March investor conference and emphasizes Brinker's commitment to return value to shareholders," said Doug Brooks, president and chief executive officer of Brinker International.
Brinker International Inc. is one of the world's leading casual dining restaurant companies, serving more than one million customers daily. Brinker owns or franchises more than 1,500 restaurants in 29 countries and two territories, and employs more than 100,000. On The Border is a full-service, casual dining Mexican restaurant brand with 162 restaurants. Golden Gate Capital is a San Francisco-based private-equity investment firm with approximately $8 billion of assets under management.