Financing

Restaurant tech firm InKind acquires Etta Collective out of bankruptcy

The now two-unit concept went to the highest bidder for $4 million, and InKind CEO Johann Moonesinghe plans to restart growth.
Etta
Two locations of Etta still operating are in Chicago and Scottsdale, Arizona. | Photo courtesy of Etta Collective.

The high-end group of restaurants under Etta Collective have been acquired out of bankruptcy for $4 million by the restaurant tech firm InKind, according to court filings.

Austin, Texas-based InKind, a kind of loyalty program that connects diners with top-rated restaurants, was among the Etta Collective creditors, but secured the winning bid for the group, which filed for Chapter 11 protection in February.

InKind beat out stalking horse bidder John Leahy, according to court documents in early April.

The Etta Collective was created by David Pisor, a former partner in the high-end concept Maple & Ash, known for its steakhouse concept in Chicago and Scottsdale, as well as the Etta brand. After a rancorous legal dispute, Pisor split with then-partner James Lasky and took the Etta and other concepts to grow separately as part of a settlement.

Etta at one point had four units and Pisor had big plans for growth. But an Etta location in Los Angeles closed last year, and the River North location in Chicago closed in January, as did a sister brand called Sophie.

The two remaining Etta locations are in Chicago’s Bucktown neighborhood and Scottsdale, along with a sister brand Aya Bakery. InKind CEO and co-founder Johann Moonesinghe told the Chicago Tribune he plans to grow the Etta brand again.

Moonesinghe describes himself as a serial entrepreneur and angel investor whose investments include tech-forward brands like Uber, Twilio and Allbirds. For restaurants, InKind serves as a funding source and the company last October said it had allocated $120 million for restaurants across the country, saying companies that have benefited include Major Food Group (Carbone Dallas), Jose Andres Group and Union Square Hospitality Group.

Moonesinghe could not be immediately reached for comment, and Pisor did not respond to requests for more information.

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