ADF Companies Acquire Pizza Hut Restaurants

ANN ARBOR, Mich., Dec. 5  /PRNewswire/ -- The ADF Companies and Capital Growth Advisors, LLC ("CapGrow") have announced the ADF Companies' acquisition of a total of 165 Pizza Hut restaurants in a series of transactions.  The acquisitions occurred from February-November 2006, in connection with the recapitalization and refinancing of the ADF Companies' capital structure. With these acquisitions, the ADF Companies are now the second largest Pizza Hut franchisee in the United States, operating restaurants in the greater Tri- State Metropolitan area of New York, New Jersey, and Connecticut; Georgia; Tennessee; Florida; Alabama; Pennsylvania; Maryland; Virginia; West Virginia and Washington, DC.

Ares Capital Corporation provided the senior debt and a line of credit. Spirit Finance Corporation provided initial bridge financing and certain other financing. CapGrow provided financial advisory services. Total Capital utilized in connection with the transactions and refinancing was approximately $115 Million.

"We were happy to be able to create innovative solutions to a series of different capital needs which has enabled the ADF Companies to continue their commitment to growth in the Pizza Hut System," said Reid Sherard, President/CEO of CapGrow.  Don Harty, President of the ADF Companies, said, "The acquisition of these additional Pizza Hut restaurants, in combination with the recapitalization and refinancing, solidly positions us for growth in both the Pizza Hut system as well as the entire YUM! Brands' family.  Reid Sherard and his team at CapGrow utilized their extensive knowledge and contacts in the financing industry to bring a truly remarkable solution for all our capital needs."

CapGrow, headquartered in Ann Arbor, MI, is a leading provider of fee based financial advisory services to the restaurant industry. Additional information on CapGrow may be found at http://www.capgrow.net/ .

Ares Capital Corporation (NASDAQ:ARCC) is a regulated business development company focused on meeting the distinct financing needs of private middle market companies.  Additional information on Ares may be found at http://www.arescapitalcorp.com/ .

Spirit Finance Corporation (NYSE:SFC) provides customized, flexible sale/leaseback financing solutions for single tenant, operationally essential real estate assets that are vital to the operations of retail, service and distribution companies. Spirit's core markets include free-standing automotive dealers, parts and service facilities, drugstores, educational facilities, movie theaters, restaurants, supermarkets, and other retail, distribution and service businesses. Additional information about Spirit Finance Corporation is available on its website at http://www.spiritfinance.com/ . 

DATASOURCE: Capital Growth Advisors, LLC



CONTACT:  Reid Sherard of Capital Growth Advisors, LLC, [phone],

 , or Mike Lubitz of ADF Companies, [phone],

 , or Mitch Goldstein of Ares Capital Corporation,

[phone],  , or Jeffrey Fleischer of Spirit

Finance Corporation, [phone],  



Web site:  http://www.capgrow.net/

http://www.arescapitalcorp.com/

http://www.spiritfinance.com/ 

Copyright