Restaurant Chain Chuck e. Cheesecake parent CEC Entertainment filed for Chapter 11 bankruptcy on Thursday, becoming the latest casualty of the COVID-19 pandemic that has rocked the entertainment and leisure industries worldwide.
The company described the current crisis as “the most challenging” in its history and said it would use bankruptcy proceedings to negotiate with shareholders and landlords and restructure its balance sheet.
For the Southern District of Texas, the U.S. According to the bankruptcy filing in bankruptcy court, the CEC lists both assets and liabilities ranging from $ 1 billion to $ 10 billion.
Corporate companies outside the United States, along with U.S. and international franchise partners, are not part of the process.
According to government guidelines, Chuck E. Cheese and Peter Piper Pizza locations will reopen.
As of Wednesday, 266 Chuck e. The cheese and Peter Piper pizza restaurant and arcade venues have reopened, with the company expecting to continue its operations at locations throughout the Chapter 11 process.
Apollo Global Management was acquired by Irving, Texas-based CEC in a $ 1.3 billion deal in 2014.
It sought to broaden its appeal beyond children and young adults, expanding its alcohol offerings to adults.
Last year, the company overturned its previous decision to merge with the blank check company Leo Holdings.
As of March, the CEC and its franchises were 612 Chuck E. Cheese and 122 hosted the Peter Piper Pizza Venues, 47 U.S.C. There are 16 states and states.
While PJT Partners serves as a financial advisor, FTI Consulting is its restructuring advisor.