TGI Fridays, the popular American dining chain known for its classic diner and bar fare like burgers, steaks, and chicken wings, has been a staple since its founding in 1965. With over 600 locations across 55 countries, including Malaysia, it’s considered a go-to spot for locals seeking an American dining experience.
However, it appears that TGI Fridays is facing significant challenges, as the company filed for Chapter 11 bankruptcy protection in Texas on Saturday (2nd November 2024). Reports indicate that the company has listed both its assets and liabilities in the range of $100 million (RM438 million) to $500 million (RM2.19 billion).
The financial challenges stemming from the Covid-19 pandemic fallout were cited as the main cause of TGI Fridays’ current difficulties. “The next steps announced today are difficult but necessary actions to protect the best interests of our stakeholders, including our domestic and international franchisees and our valued team members around the world,” stated Rohit Manocha, Executive Chairman of TGI Fridays Inc.
Despite the unfortunate news, the company announced that many of its restaurants in the United States and abroad will remain open while they pursue strategic alternatives through the restructuring process to secure the brand’s long-term viability. This approach aims to allow their operating restaurants to continue with an optimised corporate structure that supports their potential for growth and stability.
After the news broke, many loyal customers around the world shared their reactions to the potential closure. Many expressed their sadness at the thought of not being able to enjoy their favourite dishes from TGI Fridays anymore. Others weren’t too surprised, citing the recent closure of several locations as a sign of trouble. While some felt relieved to hear that the brand would keep operating for now and wouldn’t be shutting down immediately.
As of now, there are a total of 11 TGI Fridays outlets here in Malaysia, located at Pavilion KL, Pavilion Bukit Jalil, MyTOWN Shopping Centre, Suria KLCC, Mid Valley Megamall, Sunway Pyramid, the Curve, 1 Utama, Central i-City, Queensbay Mall and The Mall, Mid Valley Southkey.
Were you also surprised by their potential closure news?
Sources: MalayMail, CNN Business
Alia contributed to this article.
