Mi Cocina’s parent bids $18.8M to rescue Razzoo’s from bankruptcy

A lifeline for Razzoo’s? Mi Cocina’s parent steps in with a bold bid to revive the embattled Cajun chain. The auction could reshape Texas’ dining scene.

, and Administrator

2025 December 6 . 9:12 PM

2 min read

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Mi Cocina’s parent bids $18.8M to rescue Razzoo’s from bankruptcy

Mi Cocina parent in line to acquire Razzoo's Cajun Cafe out of bankruptcy

Dallas-based M Crowd was named the stalking horse bidder for the casual-dining chain with an $18.8 million credit bid.

Razzoo’s, a Texas-based casual-dining group, filed for Chapter 11 bankruptcy in October. The company cited rising inflation, economic pressures and stiff competition as key reasons for its financial struggles. Now, a rival restaurant group has stepped in with an opening bid to take over the brand.

The bankruptcy filing revealed Razzoo’s had accumulated $9.7 million in secured debt and around $3.1 million in unsecured obligations. Before the court proceedings, the group had already closed three of its locations, leaving 19 in Texas and one in North Carolina still operating.

A Dallas-based restaurant group, M Crowd, was named the stalking-horse bidder in the case. M Crowd, which owns Mi Cocina—the 10th-largest Mexican casual-dining group in the U.S.—submitted an offer that sets the bidding floor for Razzoo’s auction, scheduled for December 12. Their proposal includes a credit bid covering Razzoo’s senior secured debt, along with debtor-in-possession financing, totalling approximately $18.8 million. If successful, Razzoo’s would join Mi Cocina under the same ownership.

Another competitor, Artis, is also expected to participate in the bidding process. Razzoo’s is not alone in its financial troubles, as several other casual-dining groups have filed for bankruptcy this year.

The auction on December 12 will determine Razzoo’s future ownership. If M Crowd’s bid prevails, the group will become part of a larger restaurant group with combined sales exceeding $91.6 million in 2024. The outcome will also decide whether the remaining 20 locations continue operating under new management.