Restaurant operator Meritage Hospitality Group (MHG) closed on a new $97 million credit facility in a syndication led by City National Bank. MHG will use the facility for Wendy’s acquisitions and development.

“This new credit facility will save the company approximately $1 million annually in interest expense and significantly increase our renovation and new build restaurant development capacity with an increased flexible development line of credit.

The syndication partners have also provided Meritage an accordion feature for future Wendy’s acquisitions. We consider ourselves in the early stages of a major Wendy’s consolidation and investment cycle driven by acquisitions, restaurant renovations and new development,” stated Meritage CEO, Robert Schermer, Jr.

Meritage earlier announced it has embarked on a new five-year business plan for 2017-2021, which management believes will result in continued significant sales and earnings growth over the next five years. The company reported third quarter strong sales and earnings growth related to its reimaging campaign, acquisitions and newly opened locations.

Grand Rapids, MI-based Meritage Hospitality Group is a restaurant operator, with 183 restaurants in operation located in Florida, Georgia, Michigan, North Carolina, South Carolina, Ohio, Oklahoma and Virginia.