Logan’s Roadhouse amended plan of reorganization confirmed by court

By Caroline Salls

Pittsburgh, Nov. 9 – Logan’s Roadhouse, Inc.’s amended plan of reorganization was confirmed Wednesday by the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, Logan’s entered into an agreement under which its revolving facility lenders and holders of more than 83.9% of the $378 million in principal amount of notes will support a restructuring, including committed exit financing facilities, that will deleverage the company by more than $300 million.

Under the Chapter 11 plan, the noteholders will receive their share of equity in the reorganized debtors in exchange for their notes. However, holders of unexchanged notes claims in excess of $9,000 will receive stock, while holders of less than $9,000 in claims will receive cash if that holder voted to accept the plan or new notes if the holder voted to reject it.

The revolver lenders will receive their share of an exit revolving facility in satisfaction of their claims unless the company enters into an alternative first-lien facility, in which case they will be paid in full in cash and outstanding letters of credit issued under the credit agreement will be replaced or cash collateralized at 105% of their amount.

Holders of general unsecured claims will receive their share of a cash pool.

Equity interests will be cancelled and discharged in accordance with the plan.

Logan’s, a Nashville-based restaurant chain, filed bankruptcy on Aug. 8. The Chapter 11 case number is 16-11819.

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