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Hooters files for bankruptcy with $376M debt, plans to sell 151 restaurants to franchise group.
Hooters, the restaurant chain founded in 1983, filed for bankruptcy on April 1, 2025, due to $376 million in debt.
To address this, Hooters plans to sell its 151 company-owned restaurants to a franchise group backed by the founders of Hooters, who already operate restaurants in Tampa, Florida, and Chicago, Illinois.
The deal is expected to close in three to four months.
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