Click here to read the full article from GlobeNewswire: Franchise Group, Inc. Announces the Sale of the Retail Real Estate Portfolio of W.S. Badcock Corporation.
Sale of Badcock Distribution Centers and Headquarters Expected to Close During Current Quarter
• Proceeds from All Real Estate Sales to Pay Off Balance of $175 Million Acquisition Financing
DELAWARE, Ohio, March 31, 2022 (GLOBE NEWSWIRE) -- Franchise Group, Inc. (NASDAQ: FRG) ("Franchise Group," "FRG" or the "Company") today announced that it has completed the sale-leaseback of 35 retail W.S. Badcock Corporation ("Badcock") locations for gross proceeds of approximately $94 million. The 35 locations are comprised of corporate and dealer owned locations.
FRG expects to complete the sale-leaseback of Badcock's distribution centers and corporate headquarters during its fiscal second quarter and intends to use cash proceeds to repay the remaining $175 million of Badcock acquisition financing.
B. Riley Real Estate acted as advisor and Willkie Farr & Gallagher LLP served as legal counsel to Franchise Group.
About Franchise Group
Franchise Group is an owner and operator of franchised and franchisable businesses that continually looks to grow its portfolio of brands while utilizing its operating and capital allocation philosophy to generate strong cash flow for its shareholders. Franchise Group's business lines include Pet Supplies Plus, American Freight, The Vitamin Shoppe, Badcock Home Furniture & more, Buddy's Home Furnishings and Sylvan Learning. On a combined basis, Franchise Group currently operates over 3,000 locations predominantly located in the U.S. that are either Company-run or operated pursuant to franchising and dealer agreements.