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UPDATE 1-Rick's Cabaret sees topping Q2 earns estimates
April 29, 2010 / 7:09 PM / 7 years ago

UPDATE 1-Rick's Cabaret sees topping Q2 earns estimates

* Says to close an acquisition by June

* Says to seek other acquisitions during the year

* Shares up 7 pct

April 29 (Reuters) - Strip club operator Rick’s Cabaret International Inc (RICK.O) said it expects its second-quarter earnings to top current market estimates, and that it plans to close a deal to buy a club by June.

Shares of the company were up 7 percent at $12.95 in afternoon trade on Nasdaq.

Rick‘s, named after “Rick’s Cafe Americain” in the movie “Casablanca,” had said in February it plans to buy rival VCG Holding Corp VCGH.O, creating what it called the largest publicly traded strip club operator in the United States. [ID:nSGE61F0IX]

Chief Executive Eric Langan on Thursday said he is currently in talks to buy an existing club, and expects the deal to close by June 30.

Langan also said the company would continue to seek acquisitions during the rest of the year.

Rick‘s, which aims to build a national strip club chain in the United States eventually, will report second-quarter results between May 11 and 17, the company said.

Analysts, on average, were expecting the company to earn 28 cents a share, on revenue of $22.8 million, according to Thomson Reuters I/B/E/S. (Reporting by Nivedita Bhattacharjee in Bangalore; Editing by Aradhana Aravindan)

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