Outback operator files for Chapter 11 as Bloomin bids $26.3M

Cerca Trova Restaurant Group Holdings, which operates 61 Outback Steakhouse restaurants across the western United States as Out West Restaurant Group, filed for Chapter 11 bankruptcy protection in Delaware on November 2. Bloomin Brands has proposed paying a base $26.3 million for substantially all of Out West’s assets, but the sale requires court approval and may face competing bids. The proposed purchase agreement, signed November 1, includes adjustments tied to financing and specified vendor liabilities. Bloomin Brands would also assume certain obligations, including future lease payments and unredeemed gift cards. The agreement sets January 31, 2027, as an outside closing date, subject to extension. The transaction is not final, and qualifying competing offers could lead to an auction. Bloomin Brands has also agreed to provide up to $5.5 million in noninterest-bearing debtor-in-possession financing, subject to court approval and other conditions. Out West could access $1.5 million after interim approval, with the rest available after further court approvals. The financing is intended to support operations and bankruptcy-related costs while the case proceeds. Out West plans...