Founded in 1983, Hooters became famous for its chicken wings and its servers’ uniform of orange shorts and low-cut tank tops.
The buyer group is backed by some of Hooters’ original founders, and it pledged to take Hooters “back to its roots”.
“With over 30 years of hands-on experience across the Hooters ecosystem, we have a profound understanding of our customers and what it takes to not only meet, but consistently exceed their expectations,” said Neil Kiefer, a member of the buyer group and the current CEO of the original Hooters’ location in Clearwater, Florida.
Hooters said it expects to complete the deal and emerge from bankruptcy in three to four months. The company has lined up about US$35 million in financing from its existing lender group to complete the bankruptcy transaction.
Casual dining restaurants have been hammered by rising costs in 2024, with well-known chains like TGI Fridays, Red Lobster, Bucca di Beppo, and Rubio’s Coastal Grill all filing for bankruptcy last year.
Restaurant prices have risen about 30 per cent in the last five years, outpacing consumer prices overall, according to the Federal Reserve Bank of St Louis.
