Ruth Improves Financial Position

Zacks.com:

Ruth’s Hospitality Group Inc., the operator of upscale casual-dining chains, in order to improve its financial position and flexibility has taken prudent steps to raise $69.7 million through a stock sale to a private equity firm, a right offering to existing shareholders and the sale of its headquarters building.

The parent of Ruth’s Chris Steak House agreed to issue $25 million of newly-created Series A 10% Convertible Preferred Stock, to Bruckmann, Rosser, Sherrill & Co. Management LP, a New York private-equity firm.

The company, which operates more than 150 company and franchisee owned locations worldwide, targets gross proceeds of $35 million through a rights offering to shareholders.