This article was displayed on the ChosunBiz MoneyMove (MM) site at 4:12 p.m. on July 21, 2026.
Red Lobster, the largest seafood restaurant chain in the United States, is moving to sell its Japan subsidiary. Red Lobster introduced a menu offering unlimited shrimp at a low price, which led to large losses and put it at risk of bankruptcy in the U.S.
According to the investment banking (IB) industry on the 21st, Red Lobster Japan has recently begun contacting potential buyers. The plan is to transfer the controlling equity of CELUX Holdings, which owns 100% equity in Red Lobster Japan. The asking price is reportedly about 30 billion won, based on 100% of CELUX Holdings' equity.
Red Lobster is a brand that gained popularity for its all-you-can-eat shrimp menu. In May 2023, Red Lobster in the U.S. introduced the "Ultimate Endless Shrimp" menu, offering unlimited shrimp dishes for $20 (about 30,000 won), which became hugely popular. But the menu saddled the company with about $11 million (about 16.5 billion won) in losses, which triggered Chapter 11-style bankruptcy protection in 2024 to restructure its debt under court supervision.
A restructuring plan was approved in September of the same year, and the company was acquired by RL Investor Holdings, after which it has been working to normalize operations. After saying it would not reintroduce the all-you-can-eat menu, it recently offered the unlimited shrimp menu as a limited-time promotion for $25 (about 40,000 won).
However, the asset for sale this time is the Japan franchise operating company and is separate from the U.S. headquarters. The transaction asset centers on store operating rights in Japan and brand business rights. Red Lobster Japan also varies some menu items from the U.S. headquarters to reflect localization. Even the "Cheddar Bay Biscuits," widely known as a Red Lobster signature, are not served at Red Lobster in Japan.
Red Lobster is a seafood restaurant brand that began in the United States in 1968. It entered Japan in 1982. According to the official website, as of today it operates 21 stores in Japan. Stores in the greater Tokyo area—Tokyo, Kanagawa, Saitama and Chiba—account for about 65% to 70% of sales. It also operates locations in tourist destinations such as Osaka, Okinawa, Nagasaki and Kofu. It plans to open a new location in the Minato Mirai area in the second half of 2027.
Red Lobster Japan airlifts live Canadian lobsters twice a week and manages ingredients by operating in-store lobster tanks. The company has distribution centers in Tokyo and Kansai, purchases lobsters centrally, and then ships them to each store.
The valuation sought by the seller appears to apply a multiple of 6 to 8, considering that EBITDA from 2024 to recently was assessed at about 360 million yen (3.26 billion won) to 490 million yen (4.44 billion won). Red Lobster Japan's sales and operating profit from July 2023 to the end of June 2024 were 46.2 billion won and 1.4 billion won, respectively. Sales for the previous year ended in late June last year were 46.4 billion won, with operating profit of 1 billion won.
Red Lobster has not entered Korea. The company once operated about 700 stores worldwide and now runs about 550. In Asia, it has subsidiaries in Japan and Thailand.