Lone Star Steakhouse & Saloon was a casual dining restaurant chain, which served steak, seafood, salad, and similar food items. Lone Star opened its first restaurant in 1989 in Winston-Salem, North Carolina. In March 1992, Lone Star Steakhouse Menu became a public company with eight restaurants opened. At its maximum, 267 Lone Star Steakhouses were operational. The company filed for Chapter 7 bankruptcy on September 7th, 2017.
Since August 2019, the still-operating company website advertised four locations, all of these are independently confirmed closed. Also as of August 2019, two independently owned and operated locations with this restaurant still exist according to Yelp-one out of Knightdale, N . C ., and something in Tamuning, Guam
On October 6th 2019. The Knightdale, NC location officially closed. The last from the Lone Star locations inside the continental US. The area was a Saltgrass Steakhouse.
Lone Star was founded by Jamie B. Coulter, who started his restaurant career as a major franchisee of the Pizza Hut chain. Separately, a company called Creative Culinary Concepts opened a prototype Lone Star Steakhouse & Saloon restaurant in Winston-Salem, North Carolina in 1989. in 1991, Coulter signed an agreement with Creative Culinary Concepts to open 4 Lone Star restaurants, which may use a Texas Roadhouse-style ambiance. Coulter incorporated Lone Star Steakhouse & Saloon in January of 1992, becoming the President, CEO, and Chairman of the chain.
The chain, at this particular point featuring eight restaurants, went public in March of 1992 to raise the money for expansion. The primary public offering raised $91 million. In 1993, 1994, and 1995, Lone Star Steakhouse Hours was awarded the distinction of “best small business in the country” by Forbes magazine, as well as in 1994 ranked #6 in Fortune magazine’s listing of fastest-growing companies – a higher rank than any other restaurant. Coulter himself was named chief executive of the season in 1996 by Restaurants and Institutions.
By the end of 1995, there were 182 restaurants in operation, which expanded further to 205 locations by March of 1997 and further yet to 265 in the end of this same year. However, Lone Star faced difficulties with market saturation, rising food and labor costs, declining same-store sales, and management turnover as the company entered the late 90s. The company’s growth arrived at an unexpected halt, with all the chain reaching its maximum extent of 267 restaurants after opening just two in most of 1998, and ended the 1990s with 265 restaurants after closing two in 1999. During this time, the company’s stock price plummetted from $46 in 1996 to just $6 by the end of 1998. Because of this turmoil, a minor shareholder in Lone Star, Guy W. Adams, waged an effective battle to unseat Coulter as Chairman from the Board of Directors in the company he had founded, though Coulter maintained his position of CEO. Lone Star had started to seek a buyer to take the company private in 2002.
Private buyout. On August 18, 2006, the 222-restaurant large Lone Star Steakhouse chain signed a binding agreement to become acquired by Lone Star Funds, an unaffiliated, Dallas-based private equity firm, for $27.10 per share in cash. This initial agreement was opposed by some major shareholders. On November 11, 2006, Lone Star Funds raised its offer to $27.35 per share. On December 12, 2006, shareholders voted to accept the offer.
As it became private, Lone Star Steakhouse continues to be de-listed from NASDAQ. This can be the reason stopped sponsoring the #40 Dodge of David Stremme. After the buyout, new and remodeled Lone Star Steakhouse locations qdyktt through the classic “Texas Roadhouse” theme to some more urban-style restaurant, abandoning a lot of the Texas and cowboy themes in its older restaurants. The newer restaurant design is much more upscale, with virtually none of the Americana noticed in the pre-2006 restaurants.