Sun Capital Partners
PE firm notorious for retail destruction — at least 35 portfolio companies have filed bankruptcy
Brands Owned by Sun Capital Partners (7)
Bar Louie
Restaurants & Fast Food
Bar and grill chain in which Sun Capital Partners became a major investor in 2010; filed Chapter 11 in January 2020 and again in March 2025, before being sold out of bankruptcy to Sun Holdings in October 2025.
Boston Market
Restaurants & Fast Food
Rotisserie chicken chain bought from McDonald's by Sun Capital Partners in 2007; Sun Capital sold it in 2020 to Jay Pandya's Engage Brands, after which the chain collapsed from roughly 300 locations to fewer than 30 by 2024-2025.
Friendly's
Restaurants & Fast Food
Sun Capital executed sale-leaseback on 160 properties, dumped $115M pension. Filed bankruptcy twice. Sold for just $2M — fraction of $337M Sun paid.
Marsh Supermarkets
Grocery & Specialty Food
Sun Capital acquired Marsh in 2006, loaded it with debt, failed to invest in stores. The chain deteriorated and all stores closed or were sold off by 2017. Another Sun Capital retail casualty.
Mervyn's
Department Stores
PE consortium split company into real estate and retail, forced retailer to pay rent on properties it previously owned. Extracted $200M in fees. All 257 stores liquidated.
Shopko
Department Stores
Sun Capital stripped real estate, loaded debt, extracted $50M dividend. All 360 stores liquidated. 14,000 jobs lost.
The Limited
Apparel & Fashion
Sun Capital extracted $42M dividend via borrowed money, making 1.8x return while the company died. All 250 stores closed. Sued for fraudulent transfer.