The agreement also allows the purchase of the other 60 percent of outstanding stock in Orlando-based Three Amigos in exchange for PHC (OTC: PHCD.PK) common stock within the same time frame.

Three Amigos operates four Amigos Mexican restaurants in Orlando. The company says it plans to use the proceeds from the purchase to acquire rights to the name Amigos and to build up to five more Central Florida restaurants.

The chain was founded in 1988 by Nell Hyltin of Amarillo, Texas. Hyltin's sons Andrew and John continued to grow the business to make it one of the city's landmark chains. Andrew Hyltin continues to own and operate the original Altamonte Springs location, and Three Amigos owns the other four Orlando stores.

Pearlman, a significant shareholder of Las Vegas-based PHC, has also been a shareholder in Three Amigos. He also co-owns New York Pizza Development LLC, which operates and franchises the NYPD Pizza chain. Pearlman an d John Hyltin have agreed to serve as directors of PHC upon the exercise of the option.

Pearlman, also the majority owner of Church Street Station in downtown Orlando, is best known for his development of musical talent such as The Backstreet Boys and 'N Sync, and the ABC-TV show "Making the Band."