Red Lobster receives court approval for sale to Fortress

By Dietrich Knauth

NEW YORK (Reuters) - Restaurant chain Red Lobster on Thursday received court approval for a restructuring that will allow the company to emerge from bankruptcy under the ownership of a Fortress Investment Group-led coalition of lenders.

Red Lobster said the restructuring will allow it to keep all 544 current locations open and preserve jobs for 30,000 employees.

The Orlando, Florida-based company, which operates in 44 U.S. states and four Canadian provinces, closed 93 locations before filing for bankruptcy.

Red Lobster's next CEO, Damola Adamolekun, said the company's new owners have committed more than $60 million in additional funding to "reinvigorate the iconic brand."