By ChinRes 
Do you recall the time in May of 2024 when Red Lobster submitted its petition for bankruptcy under Chapter 11? After reaching its lowest point, the chain appears to be starting its redemption arc and is currently undergoing a change of ownership in order to eventually escape the shackles of bankruptcy.
Red Lobster’s bankruptcy plan was authorized by the United States Bankruptcy Court for the Middle District of Florida on September 5, 2024, and a press statement was issued on the same day to announce the company’s takeover. The sale had been looming for many weeks prior to this date.
RL Investor Holdings LLC, which is supported by Fortress Investment Group together with co-investors TCW Private Credit and Blue Torch, formally bought Red Lobster Management LLC on Monday, September 16, after the company emerged from Chapter 11 reorganization. Red Lobster Management LLC is the owner of all of the restaurants. Of course, it is not all.
The post of Chief Executive Officer of Red Lobster has been transferred to Damola Adamolekun after the completion of the transaction, which was previously held by Jonathan Tibus. In a news statement, Adamolekun stated, “I’ve been a Red Lobster fan ever since my first dining experience at our Springfield, Illinois, restaurant when I was nine years old.” “Red Lobster is now a stronger, more resilient company, and today is the start of a new chapter in our history.”
In addition to fresh financing, there is also new excitement
The new Chief Executive Officer of Red Lobster is Damola Adamolekun; who is he? Even though he is only 35 years old, Adamolekun has already established himself as a successful business leader, in charge of a significant restaurant chain. Prior to taking on his present position, he was the Chief Executive Officer of P.F. Chang’s from February 2019 to December 2023.
After that, he worked as an operating partner at the investment company Garnett Station Partners. According to the National Restaurant Association, he worked at P.F. Chang’s and was responsible for generating around one billion dollars in revenue annually during his tenure there.
Aiming to maintain 545 outlets throughout 44 states in the United States and four provinces in Canada, Adamolekun comes into this new post at Red Lobster with the intention of achieving this goal. Taking into consideration that the company has already shuttered dozens of sites and was on the verge of eliminating over one hundred more early this year, this is not an easy undertaking.
Although this is the case, Adamolekun has claimed that his long-term investment plan for Red Lobster involves further capital of more than sixty million dollars. The question of whether or not the business will fully recover is still up in the air, but consumers are already yelling their delight from the rooftops. According to a statement that the company made on Instagram, “We are excited to create new cherished moments with you as we turn the page to start writing Red Lobster’s next chapter.”
A customer commented by saying, “I’ve spent over a decade going to Red Lobster for my birthday … can’t wait to do it for another 10!!!”