Buffets Inc., the parent of the HomeTown Buffet, Old Country Buffet, Ryan’s and Fire Mountain brands, said Friday it was exploring strategic alternatives, including a possible sale.
The Eagan, Minn.-based company said it has retained Moelis & Company as its advisory firm to conduct a review of the alternatives.
In a statement Friday, Buffets noted that it “maintains a positive outlook for its performance as a stand-alone entity.”
The move by Buffets, which operates more than 500 restaurants, comes a little more than two years after it emerged from Chapter 11 bankruptcy protection.
Buffets filed for Chapter 11 in January 2008, after struggling with falling sales and heavy debt burdens from its $876 million acquisition of Ryan’s in 2006. The company exited bankruptcy in April 2009 with commitments for up to $117.5 million in new, first-lien exit financing from several lenders.
Buffets Inc. operates restaurants in 39 states.