Red Lobster exits bankruptcy new owners, new CEO
Red Lobster has emerged from bankruptcy with new ownership, new management and 545 restaurants.
The seafood chain, which filed for bankruptcy, said that it has exited Chapter 11 restructuring and completed its acquisition by RL Investor Holdings LLC. RL is an entity created by funds managed by affiliates of Fortress Investment Group alongside co-investors TCW Private Credit and Blue Torch.
As previously reported, Damola Adamolekun, the former CEO of P.F. Chang’s, has been appointed chief executive of Red Lobster. Most recently, he was an operating partner at Garnett Station Partners, whose portfolio includes Pollo Tropical, Primanti Bros, Twin Peaks, Checkers and Carrols Restaurant Group. Before that, from 2019 to 2023, he was CEO of P.F. Chang’s China Bistro.
"Red Lobster is now a stronger, more resilient company, and today is the start of a new chapter in our history," said Adamolekun. “I've been a Red Lobster fan since my first dining experience as a 9-year-old at our Springfield, Ill. restaurant – and as I've prepared to step into the role of CEO, I've met hundreds of diners across the country who, just like me, are as passionate about Red Lobster now as they were on their first visit."
Red Lobster shuttered about 90 restaurants immediately prior to its bankruptcy filing and went on to close a number of additional locations and auction off restaurant equipment. As of Sept. 16, Red Lobster said it is as an independent, privately owned company, with 544 locations across 44 U.S. states and four Canadian Provinces.
"As part of our new ownership structure, we have backers who have a history of making successful investments in restaurants,” said Adamolekun. "Our comprehensive and long-term investment plan for Red Lobster includes a commitment of more than $60 million in new funding which will help us to deliver improvements across every aspect of our company. I'm looking forward to working with our 30,000-strong team to bring our plan to life."
