A judge is expected to approve today the sales of the bankrupt Olga’s Kitchen fast-casual chain to Team Schostak Family Restaurants, a joint-venture partner in 11 stores and a franchisee of Applebee’s, Del Taco and MOD Pizza.
Schostak, based in Livonia, Mich., agreed to pay just under $11 million for Olga’s and an overdue charge of about $306,000 to one of the chain’s debtors, Sysco Corp.
The deal adds 26 more restaurants to Schostak’s fold, which already includes 67 units of Applebee’s, four branches of Del Taco and two MOD Pizzas. It was formerly one of the Upper Midwest’s largest Burger King franchisees.
Olga’s specializes in Mediterranean food. It has been owned by Robert Solomon, who Schostak sued three years ago for allegedly diverting funds. The chain filed for Chapter 11 bankruptcy protection in June.
Birmingham, Mich.-based Olga’s was founded by Olga Loizon when she started selling her bread and sandwiches from a 10-foot-by-10-foot booth in a local market.
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