FocalPoint Securities served as the exclusive financial advisor to a regional operator of family dining and entertainment centers that recently refinanced its existing senior and subordinated debt financing. The new capital was structured as a one stop multi-tranche facility provided by a syndicate of lenders.
As the senior debt facility approached maturity, the restaurant operator needed a new capital structure that not only provided additional financing for new location development but one that maximized cash flow after debt service to support the management team’s vision for growth. FocalPoint met the company’s requirements by bringing together a group of mezzanine lenders to create a non-traditional unitranche structure. As part of the senior and subordinated debt refinance, the company also secured a delayed draw term loan to support new location development.
The company’s locations combine the excitement of large amusement parks with a multi-themed casual dining experience. Offering an assortment of quality food options at an affordable price point and more than 100 games and attractions, the company has successfully established a footprint of 10 locations throughout the Western United States.
Rajesh Sood, managing director at FocalPoint commented, “It was a pleasure to have worked with this management team. While the great recession had a significant impact on the restaurant industry, it is a testament to the skill and tenacity of this management team to have maintained their profitability in the face of such challenges. FocalPoint continues to be one of the most active advisors in the location based entertainment industry.”
Founded in 1997, the company is a leading operator of buffet-style family dining and entertainment locations. With an average facility size of over 45,000 square feet, it offers high quality food at an attractive price and a wide array of games and activities including: virtual games, laser tag, bumper cars, indoor miniature golf, amusement park rides and redemption games. The company currently has 10 locations throughout the Western United States.
FocalPoint, with offices in Los Angeles and Chicago, is an independent investment bank specializing in mergers and acquisitions, private placements (both debt and equity), and financial restructurings/work-outs. The firm’s primary focus is on middle-market companies.