Chuck E. Cheese’s parent company has reportedly exited bankruptcy after completing a financial restructuring and paying off $705 million in debt.
CEC Entertainment filed for bankruptcy in June 2020, citing challenges created by the coronavirus pandemic and related shutdowns. However, the tide seems to have turned just before the new year. On Dec. 30, CEC Entertainment announced that it had reorganized its finances, paid off hundreds of millions in debt and installed a new leadership board under new ownership, Nation’s Restaurant News reports.
The company now reportedly also has $100 million of liquidity to support operations and growth.
In a statement shared with the outlet, CEC Entertainment’s CEO David McKillips said, “We are thrilled to have emerged from our financial restructuring process and look forward to beginning a new chapter as a stronger and healthier company well-positioned to execute on our long-term goals.”
“Under new ownership, and with the leadership of our new board, the CEC team is excited to continue delivering memories, entertainment and pizza for kids and families around the world for generations to come,” McKillips continued. “Behind the strength of our entire team and world-class brands, we look forward to growing through key opportunities and implementing our strategic plan.”
When CEC announced its bankruptcy filing last summer, it called the situation the most challenging crisis in the company’s history.