(Reuters) – The owner of STK, a New York-based steakhouse restaurant group that markets itself to women, has attracted $44.3 million from investors, bringing a chain billed as “not your daddy’s steakhouse” a step closer to the stock market.
One Group LLC, which operates hotels, restaurants and lounges, said it is being acquired by Committed Capital Acquisition Corp, a cashed up investment vehicle.
The shares will trade over the counter, though the company aims to eventually list on the Nasdaq Stock Market, the Wall Street Journal reported.
In a sharp break from steakhouses serving huge T-Bone steaks to men, STK’s website features a woman in high heels holding a raw steak hanging from a meat hook and says it targets female steak lovers.
“If you cater to a female market, men will follow happily and empty their wallets into your tills,” founder and CEO Jonathan Segal told the Wall Street Journal in a 2011 interview.
STK, which has outlets in Miami, New York, Las Vegas, Los Angeles, Atlanta and London, will be run by Segal and his One Group management team, One Group said.
Committed Capital will invest about $28.8 million in STK operator One Group LLC, and institutional investors $15.5 million, One Group said. The investments value One Group at $5.00 per share.
Committed Capital is a blank-check company, a development-stage entity that has no announced business plan. Following the deal, the company will change its name to The One Group Inc.
Sandwich maker Potbelly Corp went public earlier this month and its shares have almost doubled to $25.33, from an IPO price of $14 a share.
Other casual dining chains preparing to go public include Mediterranean style restaurant chain Zoe’s Kitchen and hamburger chain Checkers Drive-In Restaurants Inc.
The One Group said it would use the funds raised to open new outlets of its female-friendly STK restaurants, which offer their steaks in small, medium and large.
Jefferies LLC served as financial adviser to The One Group, while Stifel, Nicolaus & Co Inc advised Committed Capital on the acquisition.