Stephanie Lieb Discusses Appeal of Distressed Restaurants for Investors in The Wall Street Journal
Stephanie Lieb was quoted in The Wall Street Journal and the WSJ Pro Bankruptcy newsletter on June 30, 2020 discussing investor interest in struggling restaurants amid the coronavirus pandemic.
While five U.S. restaurant companies have found investors to acquire them out of bankruptcy, distressed retailers are facing more challenges for attracting buyers. “A path to success for restaurants is clearer for an investor than one for retailers,” Lieb said, describing investor sentiment in the two sectors.
One reason for this is optimism that restaurants will rebound after the pandemic, whereas retailers have long struggled prior to COVID-19 due to changing consumer preferences, the rise of e-commerce and the obsolescence of malls. Additionally, restaurants often operate on a franchising model, which requires less capital investment from a chain owner.
For the full article, please click here.