One of the largest franchise operators in the Popeyes system is moving closer to completing its Chapter 11 restructuring after securing buyers for 97 restaurants, marking a significant step in restaurant franchise asset sales within the Popeyes system in recent years.
Miami-based Sailormen Inc., which filed for Chapter 11 bankruptcy protection in January 2026, has reached agreements to sell the majority of its restaurant portfolio following a court-supervised auction process. The company originally entered bankruptcy with 136 Popeyes restaurants across Florida and Georgia, citing mounting debt, inflationary pressures, higher borrowing costs, labour challenges and weaker consumer traffic.
According to bankruptcy filings, five buyers have agreed to acquire a combined 97 restaurants for approximately $16.6 million, preserving a significant portion of the franchise network under new ownership.
Breakdown of the Restaurant Sales
The approved transactions include:
- Pulse Restaurant Group acquiring 50 restaurants across Tampa, Tallahassee, Pensacola and Jacksonville for $2.69 million. The company was established by Sailormen CEO David Damato.
- RFI Ventures LLC purchasing 23 Orlando-area restaurants for $2.5 million.
- Popeyes corporate buying back 16 Miami-area restaurants for $9.6 million.
- SBH Foods PLK LLC acquiring five Savannah, Georgia, locations for $650,000.
- 61 Biscuits LLC purchasing three West Palm Beach-area restaurants for $1.11 million.
The transactions represent one of the largest franchise asset sales within the Popeyes system in recent years and are expected to help maintain restaurant operations under experienced operators.
Commenting on the outcome, a Popeyes spokesperson said: “The auction process has concluded, and 97 of the original 136 restaurants will now be in the hands of great, local operators who are well suited to reinvest in their businesses and deliver excellent service for guests in their communities. We’re proud of the strong franchisees stepping up here, and this outcome reflects the strength of the Popeyes brand throughout Florida and Georgia.”
Despite the successful auction, a sizeable portion of Sailormen’s remaining portfolio remains unresolved.
Recent court filings indicate that 22 restaurants are expected to close after failing to secure buyers, while additional locations may also face lease rejections after attracting no bids during the auction process. Earlier this year, at least 20 restaurants had already ceased operations as part of the restructuring.
Sailormen has operated Popeyes restaurants since 1987 and was among the brand’s largest franchisees before its financial difficulties. Court documents filed during the Chapter 11 process estimated the company carried roughly $130 million in debt, with management pointing to persistent inflation, higher operating costs, labour shortages and reduced customer traffic following the pandemic as key contributors to its financial distress.
For the broader franchising sector, the restructuring illustrates both the financial pressures facing multi-unit restaurant operators and the resilience of established franchise brands. While one of Popeyes’ largest franchisees is exiting much of its portfolio, the swift transfer of nearly 100 restaurants to new operators highlights continued investor confidence in the brand and its long-term growth prospects.
