Configure was a great partner, with robust capabilities in the restaurant sector. They helped us navigate the complexities of the Chapter 11 process and allowed us to focus on the investment strategy behind this iconic QSR brand.
Atlanta, GA — Configure Partners, LLC (“Configure”), a leading middle-market investment bank, is pleased to announce its role as buy-side investment banking advisor to affiliates of Fortress Investment Group (“Fortress”) in their successful acquisition of the assets of The Krystal Company (“Krystal” or the “Company”), a staple of the Southeast fast-food industry, and one of America’s oldest hamburger chains. Fortress affiliates acquired the assets of Krystal pursuant to §363 of the U.S. Bankruptcy Code and partnered with Golden Child Holdings (“Golden Child”) to help execute the operating strategy.
Configure acted as the exclusive investment banker to the Fortress affiliates in connection with their acquisition of the Company’s prepetition senior debt and, subsequently, substantially all of the Company’s assets through a credit bid inside Chapter 11. Configure was integral to all aspects of the transaction process, including assisting with negotiations with prepetition lenders, developing the acquisition model, conducting due diligence, negotiations for the purchase agreement, and managing other critical closing workstreams.
Morgan McClure, a Managing Director at Fortress, added, “Configure was a great partner, with robust capabilities in the restaurant sector. They helped us navigate the complexities of the Chapter 11 process and allowed us to focus on the investment strategy behind this iconic QSR brand.“
About Krystal (https://krystal.com/)
Founded in Chattanooga, Tennessee, in 1932, Krystal Restaurants LLC is a preeminent fast-food brand known for its value food offering. Renowned for its square-bun hamburgers, Krystal was the first hamburger chain to exist in the Southern U.S. The Company has since developed an expansive food offering served in over 300 restaurants across 10 states. Krystal was featured on USA Today’s 2019 Top-10 Best Regional Fast Food List.
About Fortress Investment Group (https://www.fortress.com/)
Fortress Investment Group LLC is a leading global investment manager with approximately $41.7 billion of assets under management as of March 31, 2020. Founded in 1998, Fortress manages assets on behalf of over 1,700 institutional clients and private investors worldwide across a range of credit and real estate, private equity, and permanent capital investment strategies.
About Golden Child Holdings (http://goldenchildholdings.com/)
Golden Child Holdings is an opportunity-driven investment firm. The firm invests domestically in equity, credit, real estate, and other financial assets. These investments focus primarily on recapitalization, special situations, mature companies, distressed loans, and underperforming assets. Through its investment in GC Pizza Hut, Golden Child is also one of the largest Pizza Hut franchisees in the U.S.
About Configure Partners (configurepartners.com)
Configure Partners is a preeminent credit-oriented middle-market advisory boutique with offices in Atlanta and New York City. The firm provides investment banking and financial advisory services surrounding credit and creditor’s rights, providing actionable advice and results-oriented execution. Configure’s Debt Advisory practice designs bespoke financing solutions for borrowers to support leveraged buyouts, acquisitions, refinancings, and dividend recaps, among other strategic objectives. The firm’s Credit Resolutions practice is the trusted advisor to lenders and their borrowers when confronting business, liquidity, or capital structure challenges.
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