FCCG: I was a little late to notice this FAT PR from 2/8 because I was skiing in New Hampshire last week, but this PR allays one of my biggest fears of investing in this foggy situation, that is that FCCG would collect the dividends and use the cover of being a SEC dark non-reporter to distribute those dividends as FAT salaries to FCCG management.
FAT Brands Inc., a leading global restaurant franchising company, today announced that its Board of Directors has approved its first quarterly cash dividend.
Feb. 8, 2018
LOS ANGELES--(BUSINESS WIRE)--
FAT (Fresh. Authentic. Tasty.) Brands Inc. (FAT) (“FAT Brands” or the “Company”), a leading global restaurant franchising company, today announced that its Board of Directors has approved its first quarterly cash dividend.
The Company’s Board of Directors declared an initial quarterly dividend of $0.12 per share of common stock, payable on April 16, 2018 to stockholders of record as of the close of business on March 30, 2018.
“We are pleased to announce the initiation of a quarterly cash dividend, which we believe reflects the strength and stability of our business model. Our predictable cash flow generation and strong balance sheet provide the financial flexibility to continue to grow our portfolio of brands while simultaneously returning a meaningful amount of capital to our stockholders,” said Andy Wiederhorn, President and CEO of FAT Brands.
The Company also intends to launch a Dividend Reinvestment Plan (“DRIP”), under which interested stockholders may reinvest all or a portion of their cash dividends in additional common shares of FAT Brands without paying any brokerage commission or service charge. The DRIP will be administered by the Company’s transfer agent, which will distribute plan enrolment materials and information to stockholders in the coming weeks. The Company’s controlling stockholder, Fog Cutter Capital Group, intends to reinvest its cash dividend into the Company as provided under the DRIP thereby allowing the Company to retain capital to continue its growth plans.
The declaration and payment of future dividends, as well as the amount thereof, are subject to the discretion of the Company’s Board of Directors. The amount and size of any future dividends will depend upon the Company’s future results of operations, financial condition, capital levels, cash requirements and other factors. There can be no assurance that the Company will declare and pay dividends in future periods.
About FAT (Fresh. Authentic. Tasty.) Brands
FAT Brands (FAT) is a leading global franchising company that strategically acquires, markets and develops fast casual and casual dining restaurant concepts around the world. The Company currently owns five restaurant brands, Fatburger, Buffalo’s Cafe, Buffalo’s Express and Ponderosa & Bonanza Steakhouses, that have approximately 300 locations open and 300 under development in 32 countries. For more information, please visit www.fatbrands.com.