Another restaurant chain files for Chapter 11 bankruptcy
SUMMARY
BurgerFi International has filed for Chapter 11 bankruptcy protection, citing a need to “preserve the value” of its brands, including BurgerFi and Anthony’s Coal Fired Pizza & Wings. The bankruptcy, filed in the U.S. Bankruptcy Court for the District of Delaware, affects only the company-owned locations—17 BurgerFi and 50 Anthony’s Coal Fired Pizza & Wings restaurants. Chief Restructuring Officer Jeremy Rosenthal attributed the filing to a “drastic decline in post-pandemic consumer spending,” coupled with persistent inflation and rising costs for food and labor. BurgerFi estimates its assets between $50-$100 million and liabilities between $100-$500 million. The company plans to use Chapter 11 to secure additional capital and continue its operational turnaround. Meanwhile, both corporate and franchised locations will remain open. The filing follows a trend this year, with other restaurant chains like Red Lobster also entering Chapter 11.
