Situation – Sticky Ribhouse, LLC (“Sticky Fingers”) is a pioneer in the barbecue casual dining segment, serving authentic and award winning barbecue with 15 units operating across five southeastern states. Additionally, the company also has a dynamic retail sauce distribution business, selling through grocery chains and big box retailers. Sticky Fingers was controlled by the debt holders of the company.
Nature of the Assignment – Brookwood was hired to run a sale process by the debt holders of the company, who were looking to exit their holdings. Brookwood contacted over 60 financial and strategic buyers, and also explored separating the company’s restaurant operations and retail sauce business. During the marketing process, Brookwood was able to highlight Sticky Finger’s well-known brand name, loyal customer base and anticipated improvement from remodelings.
Excellent Result – Brookwood’s marketing process maximized proceeds to the owners by separately identifying the most logical buyers for the restaurants and retail sauce business.
Press Release Excerpt
We are pleased to announce that Brookwood Associates has advised Sticky Ribhouse, LLC ("Sticky Fingers") on the sale of the Company's restaurant operations to a newly formed business entity, Sticky Fingers Restaurants, LLC, and the sale of the retail barbecue sauce distribution business to Ken's Foods, Inc. Sticky Fingers operates 16 restaurants in five southeastern states and is a premier source of Memphis-style ribs, barbecue, and sauces. The Company also has a dynamic retail sauce distribution business, selling through grocery chains and big box retailers such as Wal-Mart. The brand enjoys a loyal following in the Southeast and widespread distribution of its proprietary sauces.
Brookwood's broad marketing process maximized the value of the Company by separately identifying the most logical buyers for the restaurants and retail sauce business. This transaction underscores Brookwood's deep knowledge of the restaurant and food distribution industries, and yielded a favorable outcome for this unique barbecue concept.