A Canadian court docket has cleared the reorganization plan of Pink Lobster that may see the seafood chain exit chapter.
Justice Peter Cavanagh of the Superior Courtroom of Justice in Toronto on Tuesday granted an order that acknowledges and offers drive to the plan permitted by a U.S. chapter decide final week.
The plan is predicted to permit all 27 restaurant places in Canada to stay open as a part of the roughly 544 complete places that may keep in operation, which is down from 578 as of Might’s chapter submitting.
U.S. approval of the restructuring plan was, amongst different situations, contingent on the plan’s approval by the Canadian court docket.
The restructuring will see a lender group led by asset supervisor Fortress purchase the enterprise, a brand new CEO being put in and a dedication of greater than US$60 million in new funding.
Underneath phrases of the acquisition, which is predicted to shut by the top of September, the chain will proceed to function as an impartial firm.
With recordsdata from AP.
This report by The Canadian Press was first printed Sept. 10, 2024.