REBOUNDING FROM BANKRUPTCY: RED LOBSTER’S NEW CEO DAMOLA ADAMOLEKUN LEADS A COMEBACK

Damola Adamolekun

By The Black Insider | June 24, 2025

ORLANDO, FL — Red Lobster, once an industry leader and recently a company in crisis, is undergoing a major transformation under its new CEO, Damola Adamolekun. The 36-year-old executive, known for previously turning around P.F. Chang’s, stepped into leadership in August 2024, just months after the seafood chain filed for Chapter 11 bankruptcy protection.

Now, less than a year into his tenure, Adamolekun is spearheading what industry insiders are calling one of the boldest turnarounds in casual dining history.

A New Strategy for a Legacy Brand

Under Adamolekun’s leadership, Red Lobster is focusing on three key pillars: quality, hospitality, and experience. This includes revamping the menu, retraining staff under a new service model called "RED Carpet Hospitality," and modernizing restaurants with updated décor, mood-setting music, and enhanced ambiance.

“We’re not just selling seafood,” Adamolekun said during a recent press briefing. “We’re selling a feeling—an experience people want to come back to.”

Saying Goodbye to ‘Endless Shrimp’

One of the most headline-grabbing changes was Adamolekun’s decision to end the chain’s long-running Endless Shrimp promotion. While the offer drew in customers, it also contributed to operational chaos and financial losses.

In its place, Red Lobster has introduced Shrimp Sensation platters and revamped its Happy Hour offerings, featuring $5 drinks and shareable appetizers—designed to boost value without overwhelming kitchen staff.

Classic Favorites Return

In an effort to reconnect with longtime fans, Red Lobster has also brought back classic menu staples like popcorn shrimp, hush puppies, and of course, the beloved Cheddar Bay Biscuits. These nostalgic offerings are complemented by a focus on improved ingredient quality and preparation.

Investment and Streamlining

With financial backing from RL Investor Holdings—led by Fortress Investment Group—the brand has secured around $60 million in capital. This has fueled a wave of restructuring, including the closure of approximately 23 underperforming locations.

Adamolekun’s team is now focusing on remodeling existing restaurants, starting with a flagship relaunch in Atlanta. The plan is to renovate up to 100 stores per year at an average cost of $500,000 each.

Promising Results

Early reviews suggest that the strategy is working. Guest satisfaction scores and online ratings are up across most regions. Industry analysts report a noticeable uptick in customer traffic—without relying on deep discounting.

"People are coming in and staying longer. That tells us something," said one franchise manager.

Eyes on the Future

With new seasonal promotions like Crabfest returning this summer and a renewed focus on community engagement and digital branding, Adamolekun says he’s confident that Red Lobster is moving in the right direction.

His goal: reposition Red Lobster as a modern American dining destination that resonates with both long-time patrons and younger generations.

About Damola Adamolekun

A Harvard Business School graduate, Adamolekun previously served as CEO of P.F. Chang’s and held executive roles at Paulson & Co. He brings a background in finance, operations, and innovation, which he is now channeling into one of America’s most recognizable dining brands.