Restaurant Chain with 46 Texas Locations Bounces Back From Bankruptcy

There has been a significant increase in commercial bankruptcies this year, with 7,113 in the first quarter of 2024, a 22% increase from last year.

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Corporate Chapter 11 filings also increased by 43% this year, and a popular restaurant chain with 46 locations in Texas filed for bankruptcy protection in May while the company pursued selling it after struggling for years to keep up with its competitors.

Restaurant Chain with 46 Texas Locations Bounces Back From Bankruptcy

Red Lobster looks to be bouncing back after filing for bankruptcy a few months ago. According to Yahoo Finance, a U.S. bankruptcy judge approved the seafood chain's reorganization plan, which included the lender group Fortress Investment Group, who is purchasing Red Lobster.

This is a positive turn of events for the seafood chain that was forced to close dozens of locations nationwide after losing $76 million in 2023.

Red Lobster Welcomes New CEO

Red Lobster is not only getting a second chance at life but they also just welcomed in a new CEO, Damola Adamolekun, who has previous experience as the CEO of P.F. Chang's. He shared insight into what the company's long-term plan looks like, saying that the plan included over $60 million in 'new funding'.

Red Lobster is now a stronger, more resilient company, and today is the start of a new chapter in our history

The popular seafood chain, Red Lobster, is officially an independent, privately-held company according to Yahoo Finance. Nationwide they have 545 locations with 46 across the state of Texas.

Did Flavor Flav Save Red Lobster?

Flavor Flav shared his deep admiration for the restaurant chain after they announced they were in financial trouble.

He ordered the entire menu saying "Ya boy meant it when I said I was gonna do anything and everything to help Red Lobster and save the cheddar bay biscuits...ordered the whole menu,!!!" Don't worry, his family helped him devour this massive feast.

To Thank him, Red Lobster gave Flavor Flav his own signature menu item "As a long-time Red Lobster fan, I'm fired up to bring a little bit of my own flavor to fans with a meal featuring my seafood favorites. You gotta get to Red Lobster and give it a try because this signature meal is hype, boy!"

Whether or not Flavor Flav saved Red Lobster is still yet to be determined, but one thing we do know is the rapper will be happy to hear that Red Lobster is bouncing back.