Filing Alert: Hooters Chapter 11
Hooters Files Chapter 11 in Northern District of Texas
Hooters of America, LLC ("HOA") and its debtor affiliates⁽¹⁾, known as Hooters, a restaurant chain famous for its wings, sports bar atmosphere, and Hooters Girls servers, filed for Chapter 11 protection on Mar. 31 in the U.S. Bankruptcy Court for the Northern District of Texas.
The debtors have entered into a Restructuring Support Agreement (RSA) with a buyer group comprising two existing franchisees, including the original Hooters founders, who collectively operate over 30% of domestic franchised locations. This agreement facilitates the sale of certain company-owned restaurants to the buyer group. To fund operations during the Chapter 11 process, Hooters is seeking court approval for $40 million in DIP financing from existing lenders, including $35 million in new capital.
HOA reports $50 million to $100 million in both assets and liabilities. The filing indicates that no funds will be available for distribution to unsecured creditors after administrative expenses are paid. The case number is 25-80078.
⁽¹⁾ For a complete list of debtor entities, see the Chapter 11 Debtors table.
Chapter 11 Debtors
Top Unsecured Claims
Key Parties
Co-Bankruptcy Counsel:
- Holland N. O'Neil
- Foley & Lardner LLP
- Email: honeil@foley.com
General Bankruptcy Counsel:
- Ropes & Gray LLP
Investment Banker:
- SOLIC Capital, LLC
Financial Advisor:
- Accordion Partners, LLC
Signatories:
- Keith Maib – Chief Restructuring Officer
Claims Agent:
- Kroll Restructuring Administration LLC
Equity Security Holders:
- HOA Restaurant Group, LLC – 100% Equity Interest
Bondoro Insights is continuing to monitor this case and will provide further coverage as appropriate.
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