Red Lobster to Be Acquired by Fortress After Bankruptcy Filing
The seafood chain faced significant debt and operational challenges, leading to a court-approved sale to its lenders.
- Red Lobster filed for Chapter 11 bankruptcy in May with $300 million in debt.
- Fortress Investment Group will take over after no other bids were received.
- The company closed 93 locations earlier this year and plans further closures.
- Red Lobster's financial issues included high inflation and a costly promotion.
- A court hearing for the sale approval is scheduled for July 29.
USA TODAY 