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StocksMedium•4 November 2026•
1 min read

Outback's Largest Franchisee Files for Bankruptcy; Bloomin' Brands Bids $26.3M

Key Facts

1Out West Restaurant Group, the largest Outback Steakhouse franchisee, filed for Chapter 11 bankruptcy protection after debt swelled to $449 million.
2Bloomin' Brands has offered to acquire the struggling franchisee's assets for $26.3 million.

Out West Restaurant Group, the largest U.S. franchisee of Outback Steakhouse, filed for Chapter 11 bankruptcy protection after its debt load swelled to $449 million. ZeroHedge reported that parent company Bloomin' Brands has offered to acquire the struggling franchisee's assets for $26.3 million. The filing follows a period of intense financial pressure driven by soaring labor and food costs alongside declining guest traffic.

Bloomin' Brands (BLMN) closed at $10.23 on November 3, 2026, having traded between a day high of $11.04 and a low of $10.11. CEO David Goronkin stated in court filings that revenues plunged approximately 35% due to the pandemic, while production costs continued to rise. Bloomin' Brands intends to provide emergency financing to keep the 61 affected restaurant locations operational during the bankruptcy proceedings.

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