U.S.-based eating place chain Crimson Lobster has filed for Bankruptcy 11 chapter coverage in a Florida courtroom next securing $100 million in financing loyalty from its present lenders, the corporate mentioned on Sunday.
The corporate indexed its belongings and liabilities to be between US$1 billion and US$10 billion, in step with a courtroom submitting.
Crimson Lobster mentioned its eating places will probably be detectable and perform as ordinary all the way through the chapter complaints, and plans to shed its places in addition to pursue a sale of considerably all its belongings.
The eating place chain additionally mentioned it has entered right into a “stalking horse” acquire assurance to promote its trade to an entity shaped and regulated via its present time period lenders.
“This restructuring is the best path forward for Red Lobster. It allows us to address several financial and operational challenges and emerge stronger and re-focused on our growth,” mentioned Jonathan Tibus, CEO of Crimson Lobster.
Crimson Lobster has about 700 places all over the world, in step with its web site.
(Reporting via Harshita Meenaktshi in Bengaluru; Enhancing via Krishna Chandra Eluri)
