RCI Announces Acquisition of Location for Rick's Cabaret Steakhouse & Casino in Colorado

HOUSTON, December 7, 2022—RCI Hospitality Holdings, Inc. (Nasdaq: RICK) today announced closing on the acquisition of a four-story, 30,000 square-foot building in the heart of the downtown gaming district in historic Central City, CO, one of only three cities in the state where casino gambling is legal.

The 130 Main Street location was acquired from the city for $2.4 million in cash. RCI subsidiaries plan to open a Rick's Cabaret Steakhouse & Casino, offering fine dining, casino/sports betting, and entertainment.

RCI subsidiaries have applied for a gaming license to operate 175 slot machines, six blackjack tables, one craps table, and one roulette table in Central City. This would add to RCI's gaming revenue from clubs in Louisiana and Illinois.

For the 12 months ended June 2022, more than $1 billion was wagered on slot machines in Central City, generating more than $80 million in adjusted gross proceeds. In 1991, gambling was legalized in the historic mining towns of Central City, Cripple Creek, and Black Hawk. In 2020, sports betting was legalized, and in 2021, the state removed all betting limits.

About RCI Hospitality Holdings, Inc. (Nasdaq: RICK) (Twitter: @RCIHHinc)

With more than 60 units, RCI Hospitality Holdings, Inc., through its subsidiaries, is the country's leading company in adult nightclubs and sports bars/restaurants. See all our brands at www.rcihospitality.com.

Forward-Looking Statements

This press release may contain forward-looking statements that involve a number of risks and uncertainties that could cause the company's actual results to differ materially from those indicated, including, but not limited to, the risks and uncertainties associated with (i) operating and managing an adult entertainment or restaurant business, (ii) the business climates in cities where it operates, (iii) the success or lack thereof in launching and building the company's businesses, (iv) cyber security, (v) conditions relevant to real estate transactions, (vi) the impact of the COVID-19 pandemic, and (vii) numerous other factors such as laws governing the operation of adult entertainment or restaurant businesses, competition and dependence on key personnel. For more detailed discussion of such factors and certain risks and uncertainties, see RCI's annual report on Form 10-K for the year ended September 30, 2021, as well as its other filings with the U.S. Securities and Exchange Commission. The company has no obligation to update or revise the forward-looking statements to reflect the occurrence of future events or circumstances.

Media & Investor Contacts

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