Uno Restaurant Holding to exit bankruptcy

Uno Restaurant Holding to exit bankruptcy

Uno Restaurant Holding Corp. won approval of its bankruptcy reorganization plan, according to documents filed this week in the U.S. Bankruptcy Court of the Southern District of New York.

The plan would allow the Boston-based company, which is parent to the 168-unit Uno Chicago Grill, to exit Chapter 11 bankruptcy about six months after seeking protection from creditors. The company filed for Chapter 11 in January.

Uno attorney Joseph Smolinsky of Weil, Gotshal & Manges LLP, said that as part of the reorganization plan, holders of some $142 million in senior secured debt would obtain all of the stock in the reorganized company and unsecured creditors could recover about 13 cents on the dollar. Total debt would fall to about $40 million, from about $180 million.

“The plan has been confirmed and the company’s intention is to emerge [from Chapter 11 protection] by the end of the month,” Smolinsky said. “This is a tremendous deal for the company … the company will be extremely healthy.”

Uno also has garnered a $55 million financing package to pursue initiatives going forward, including the expansion of its casual-dining chain, the Uno Due Go brand, which is its fast-casual sister concept, and Uno Foods, a consumer products business, said Louie Psallidas, Uno’s chief financial officer.

“The new capital structure will give us the liquidity and financing to grow in those areas,” he said.

Contact Elissa Elan at [email protected]