Nashville-based Logan’s Roadhouse, which has locations in Baton Rouge and Gonzales, has filed for bankruptcy and will close 18 underperforming restaurants as part of its restructuring plan.
The company has yet to announce which restaurants will close.
The Wall Street Journal reports Logan’s Roadhouse filed for bankruptcy protection Monday after reaching a deal with its bondholders to swap more than $300 million in debt for control of the restaurant chain.
The bankruptcy filing comes several months after the steakhouse chain, which has 230 company-owned restaurants and 26 franchised locations, skipped an interest payment to bondholders. Logan’s Roadhouse’s quarterly sales have fallen in recent years and the chain has struggled to make interest payments.
According to the court filing, Keith Maib, chief restructuring officer of Logan’s parent LRI Holdings Inc., says Logan’s debt-for-equity swap deal is with private-equity firm Kelso & Co. as well as with the Blackstone Group’s GSP Capital Partners LP, one its bondholders.
The Wall Street Journal has the full story (subscription may be required).
