(Reuters) – The plant-based restaurant chain Planta filed for Chapter 11 bankruptcy protection on Monday, citing a need to cut costs as U.S. consumers dine out less.
Planta’s parent CHG US Holdings and 17 affiliates filed for protection from creditors in the U.S. bankruptcy court in Wilmington, Delaware.
In a statement, the vegan chain said it viewed its reorganization as a “strategic opportunity to streamline our cost structure and strengthen our balance sheet.”
Several restaurant chains including Red Lobster, TGI Fridays and Buca di Beppo have filed for bankruptcy in the last year, as consumers curb discretionary spending.
Planta was founded in 2016 by Steven Salm, who remains chief executive.
The Miami Beach, Florida-based company has restaurants in southern Florida; New York; Atlanta; Chicago; Washington, D.C. and suburban Bethesda, Maryland; Los Angeles and Toronto, according to its website.
(Reporting by Jonathan Stempel in New York; Editing by Bill Berkrot)
