According to THE SUN, Hawkers Asian Street Food, a popular casual restaurant chain with 15 locations across seven states, filed for Chapter 11 bankruptcy protection yesterday. The chain, which specializes in Asian street food, attributed its decision to a “takeover plot” orchestrated by a lender. The company’s statement indicates that the bankruptcy filing aims to maintain control and protect its brand from what it describes as an overreaching lender.
Background on Hawkers’ Financial Struggles
Hawkers had previously entered into a debt capital agreement with the goal of expanding its brand across the United States. Last year, the company reported a notable 18.5% increase in sales and successfully opened a new store. Despite these positive developments, Hawkers claims that in recent months, the lender sought to assume operational control of the Florida-founded chain, despite the company’s assertions that it had not missed any payments.
Company’s Statement and Future Plans
In their official statement, Hawkers outlined their intentions to use Chapter 11 protection to ensure uninterrupted operations and continue paying vendors. The company aims to stabilize its control and secure a thriving future. “This will allow Hawkers to continue normal, uninterrupted operations and vendor payments,” the statement read. The company emphasized its commitment to preserving the guest experience and prioritizing the well-being of its team members and stakeholders.
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Hawkers also expressed hope to negotiate a favorable resolution with the lender and remains optimistic about the company’s future. “Hawkers hopes to negotiate a favorable outcome with said lender, and the future of the company remains bright,” the statement concluded.
Company History and Background
Founded in 2011 by childhood friends Kaleb Harrell, Allen Lo, Wayne Yung, and Kin Ho, Hawkers Asian Street Food draws inspiration from Malaysia and Singapore’s renowned hawker food complexes. The chain offers a diverse menu featuring dim sum, noodles, rice, wings, skewers, and exotic cocktails.
The company has locations in Florida, Georgia, Maryland, North Carolina, Tennessee, Texas, and Virginia. In January, the chain faced the loss of co-founder Kin Ho, who tragically passed away at age 46 after a battle with a rare form of leukemia.
A Legacy of Excellence in Street Food
Hawkers’ inspiration comes from the storied history of hawker food, which includes notable achievements like that of Chan Hon Meng, a Malaysian-born chef who made history by receiving the first Michelin star awarded to a street food stall. His Hong Kong Soya Sauce Chicken Rice and Noodle in Singapore became famous for its exceptional quality and long lines of eager customers.
Hawkers Asian Street Food’s filing for bankruptcy represents a challenging period for the company, but with the bankruptcy protection in place, the chain aims to overcome this hurdle and continue serving its popular dishes to its loyal customers.
