CB Holding Corp. is planning to explore strategic alternatives, including the possible sale of its 30-unit Bugaboo Creek casual steakhouse brand, chief executive Sam Borgese said Friday.
Borgese said the Mountainside, N.J.-based CB Holding Corp., which is also parent to the 49-unit Charlie Brown's Steakhouse concept, has hired financial company Raymond James to assist it as it examines its options.
“We have hired Raymond James to look at strategic alternatives for the brand so we can obtain the best for it, its employees and customers at this time,” Borgese said. “That could mean everything from new capital investment to a divestiture of the brand.”
Though Borgese declined to discuss sales trends at Bugaboo Creek, he told Nation’s Restaurant News last month that the economic downturn had hurt customer traffic at all of the company’s brands.
“We’ve been as strongly affected as everyone [else],” he said at the time. “We were able to maintain our competitive relevance through 2008 and 2009” and “remained resilient.”
Borgese said Friday that he would have a better idea later this month of the company's plans for the Bugaboo Creek brand.
Bugaboo Creek previously was owned by Rare Hospitality Inc., which sold the brand to CB Holding Corp. in June 2007. Rare subsequently was acquired by Darden Restaurants Inc., parent of Red Lobster, Olive Garden and other casual-dining brands.
In addition to Bugaboo Creek and Charlie Brown's, CB Holding Corp. also owns the seven-unit Office Bar & Grill chain. In recent months, the company has focused on revitalizing its individual restaurant brands, and in June introduced a revamped Charlie Brown's with a redesigned decor and a new menu more in line with a classic steakhouse.
The company said it still expects to move forward with plans to revamp Bugaboo Creek.
Contact Elissa Elan at [email protected].
