Rick's Cabaret Completes Acquisition Of Control Of New Gentlemen's Club In Austin, Texas
HOUSTON -(November 10, 2006)
- Rick's Cabaret International,
Inc. [NASDAQ:RICK],
the national chain of adult entertainment nightclubs, has completed
the acquisition of a 51 percent interest in a new 22,000-square-foot
gentlemen's club in the fast-growing Highway 290 section of Austin,
Texas. The newest Rick's Cabaret at 8110 Springdale Road will have
its grand opening on November 16th.
"This will be one of the most exciting new gentlemen's clubs
in the country," said Eric Langan, CEO of Rick's Cabaret. "There
has been a lot of interest from first class entertainers who want
to perform in this great new club, from prospective employees, and
from customers who want to enjoy the famous Rick's Cabaret experience
-- beautiful women, unequaled customer service and friendliness,
plus a great steakhouse in a luxurious setting."
Upon the closing today the company's wholly owned subsidiary RCI
Entertainment (Austin), Inc. paid $500,000 in cash for controlling
interest in the club and the company issued 125,000 shares of the
company's restricted common stock valued at $8 per share to the
current owner of
Playmates Gentleman's Club.
The acquisition is the fourth transaction this year for Rick's Cabaret,
bringing the total number of clubs owned or operated by the company
to 13.
Austin, with a current population of 1.4 million, is one of the
fastest growing cities in the United States increasing its population
by nearly 50 percent in the past decade, according to the Texas
Office of Economic Development and Tourism.
About Rick's Cabaret
Rick's Cabaret International, Inc. (NASDAQ: RICK,
www.ricks.com)
operates upscale adult nightclubs serving primarily businessmen
and professionals that offer live adult entertainment, restaurant
and bar operations. The company owns and operates or licenses adult
nightclubs in New York City, New Orleans, Charlotte, Houston, Minneapolis
and other cities under the names "Rick's Cabaret," "XTC"
and "Club Onyx." No sexual contact is permitted at any
of these locations. Rick's Cabaret also owns the adult Internet
membership Web site,
www.couplestouch.com,
and a network of online adult auction sites under the flagship URL
www.naughtybids.com. Rick's
Cabaret common stock is traded on NASDAQ under the symbol RICK.
For further information contact
ir@ricks.com
or visit
www.ricks.com.
Forward-Looking Statements:
This document contains 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 in this
document, including the risks and uncertainties associated with
operating and managing an adult business, the business climates
in New York City and elsewhere, the success or lack thereof in launching
and building the company's businesses in New York City and elsewhere,
risks and uncertainties related to the operational and financial
results of our Web sites, conditions relevant to real estate transactions,
and numerous other factors such as laws governing the operation
of adult entertainment businesses, competition and dependence on
key personnel. Rick's has no obligation to update or revise the
forward-looking statements to reflect the occurrence of future events
or circumstances. For further information go to
www.ricks.com.
Contact for further information: Allan Priaulx, 212-338-0050,
ir@ricks.com