RCI Hospitality Holdings, Inc. (Nasdaq: RICK) has completed the acquisition of the upscale Platinum Plus Gentlemen's Club in Allentown, PA. The transaction, announced by the company, involved a purchase price of $2.0 million, comprising $1.5 million in cash and $0.5 million in seller financing at 7%. This acquisition aligns with RCI's strategy of acquiring clubs at 3-5x annualized adjusted EBITDA. Eric Langan, President and CEO of RCI, noted that this acquisition complements the recent purchase of the sister club Platinum West in South Carolina and is part of the company's 5-Year 'Back to Basics' Capital Allocation Plan. The experienced management team at Platinum Plus will remain to facilitate a smooth transition.
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