The Alamo Drafthouse Slaughter Lane (Photo by John Anderson)
Bankruptcy doesn t always mean bankruptcy. That s why Chapter 11 bankruptcy protection exists (just ask Apple, Marvel Entertainment, and Six Flags), and the Alamo Drafthouse has just announced that it s moving past its own debt restructuring with the opening of five new locations nationally in the coming year.
With mounting debt due to pandemic closures, the Drafthouse filed for Chapter 11 in March before the United States Bankruptcy Court for the District of Delaware, which was accepted by the court in April. The deal was financed by existing investor Altamont Capital Partners and new investor Fortress Investment Group, with Drafthouse founder Tim League as a minority stakeholder.