Uno Restaurant Wins Approval for Financing

According to the China Post, “Uno Restaurant Holdings Corp., the owner of the Pizzeria Uno restaurant chain, filed for Chapter 11 reorganization in New York Wednesday and a bankruptcy judge approved its motions for post-petition financing and cash to operate the business. U.S. Bankruptcy Judge Martin Glenn granted interim approval for the West Roxbury, Massachusetts-based company’s US$52 million in Chapter 11 financing. Uno filed for Chapter 11 protection in Manhattan Wednesday, noting assets and liabilities of up to US$500 million each.”

“Uno Restaurant Holdings, which owns or franchises 175 pizza restaurants, cited the ‘current poor retail climate,’ increased commodity costs and high debt for its Chapter 11 filing. The company plans to reduce debt from US$175.9 million to US$33.9 million, according to documents. Senior secured notes worth US$142 million would be converted into equity, according to the company’s plan,” the story said.