Boston Chicken to convert loan in Einstein Bros. Bagels.GOLDEN, Colo.--(BUSINESS WIRE)--May 30, 1996--Boston Chicken, Inc. (Nasdaq NMS See NetWare Management System. : BOST BOST Boston National Historic Park (US National Park Service) BOST Built Off-Chip Self Test ) said today that it intends to convert its $120 million loan to Einstein Bros BROS Brothers BROS Benefits and Retirement Operations Section (King County, Washington) BROS Barnes and Richmond Operatic Society (London, UK) . Bagels, Inc. (EBBI) into a majority equity interest. Earlier today, EBBI announced it has filed a Registration Statement for an initial public offering of 2.2 million shares of common stock. In connection with the initial public offering, Boston Chicken plans to purchase two million additional EBBI shares in a concurrent private placement. Mark Stephens, vice chairman and chief financial officer of Boston Chicken, Inc., said, "Our confidence in the potential for EBBI is reflected in our planned purchase of additional equity at the same net price to EBBI as the public will pay in the proposed offering." After the initial public offering and concurrent private placement, which are expected to be completed later this summer, Boston Chicken's interest in EBBI is anticipated to be approximately 60%. In connection with these transactions, it is expected that Scott Beck, co-chairman of Boston Chicken, Inc., will assume the additional role of chairman of EBBI. EBBI was formed in March 1995, funded in part by an $80 million convertible loan from Boston Chicken, Inc. In January 1996, the loan was increased to $120 million to support EBBI's acquisition of Noah's New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Bagels, Inc., the pre-eminent West Coast bagel retailer. To reflect its dual-brand strategy of developing both Einstein Bros. and Noah's New York Bagel stores, EBBI intends to change its name to Einstein/Noah Bagel Corp. Boston Chicken, Inc. franchises and operates Boston Market Boston Market (known before 1995 as Boston Chicken), headquartered in Golden, Colorado, is a chain of American fast-food restaurants. Founded in December 1985 in Newton, Massachusetts, the chain grew rapidly in the early and mid-1990s, filed bankruptcy in the late 1990s, and (R) retail food service stores that specialize in homestyle meals featuring rotisserie-roasted Boston Chicken(R) and turkey breast, Hearth Honey(tm) hams, double-sauced meat loaf, hot, hand-carved Boston Carver(tm) sandwiches and fresh vegetables, salads and other side dishes, including mashed potatoes n. pl. 1. Potatoes which have been boiled and mashed to a pulpy consistency, usu. with sparing addition of milk, salt, butter, or other flavoring. It is a popular accompaniment to a meat course [U.S., 1900's], providing bulk and calories to a meal. made from scratch. Boston Market meals combine the freshness and quality of traditional home cooking with convenience and value. As of May 29, 1996, there were 905 Boston Market stores in 37 states and the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). . CONTACT: Boston Chicken Inc. Analyst contact: Melissa Marsden, 303-384-5652 Media contact: Karen Rugen, 303-384-5076 |
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