Razzoo’s Cajun Cafe may soon have a new owner.
Razzoo’s, which filed for bankruptcy in early October, has named M Crowd Restaurant Group as its stalking horse bidder. That means M Crowd has set the opening offer in the upcoming auction and is seeking to acquire the casual-dining chain for roughly $18.8 million via a credit bid.
Texas-based M Crowd operates full-service concepts Mi Cocina, Monkey Bar, The Mercury, Sushi at The Mercury, and Vaqueros. The restaurant group began with a single Mi Cocina in 1991, founded by Michael ‘Mico’ Rodriguez, Ray and Dick Washburne, and Bob McNutt.
Razzoo’s attributed its bankruptcy to a tough macroeconomic environment, increased competition, burdensome lease obligations, and an inability to pay off debt. The company has approximately 20 stores nationwide, all of which are in Texas except for one unit in North Carolina. This comes after shutting down four underperforming restaurants across 2024 and earlier in 2025.
According to court documents, the brand owes close to $13 million in debt. In 2024, Razzoo’s earned $76.6 million in sales, store-level EBITDA of $9.6 million, and adjusted EBITDA of roughly $3.3 million.
Founded in 1991, Razzoo’s grew to six locations in Texas by 1996 and 14 units by 2001, including the first out-of-state restaurant in Concord, North Carolina. Eventually, Razzoo’s reached a peak of 24 stores across Texas, North Carolina, and Oklahoma.
