How Damola Adamolekun plans to revitalize Red Lobster after Fortress’ $70M Investment

Some months ago, Nigerian-American Damola Adamolekun was appointed CEO of Red Lobster following a $70 million investment from Fortress. The company describes this as “a breath of fresh leadership” after a challenging period.

Red Lobster, an Orlando, Florida-based company renowned for its crab legs and shrimp dishes, introduced middle-class Americans to affordable seafood. The brand grew to become the world’s largest seafood restaurant chain, operating 578 locations across 44 U.S. states and four Canadian provinces.

The company however faced a wave of challenges, particularly following the launch of its widely popular “Ultimate Endless Shrimp” promotion. Priced at just $20, the deal attracted a surge of customers eager to enjoy unlimited shrimp, but it also carried significant financial consequences. The company reported a staggering $11 million loss in the first quarter alone.

In an interview with CNN, Damola acknowledged the misstep, stating, “That’s a very expensive product to give away endlessly.” While the promotion succeeded in boosting customer surge, it ultimately created operational chaos and strained the company’s bottom line. “You stress out the kitchen. You stress out the servers. You stress out the host. People can’t get a table,” Damola explained.

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At 36, Adamolekun has been tasked with revitalizing the struggling company after it was burdened with $1 billion in debt, leading to the closure of over 100 stores and ultimately filing for bankruptcy in 2024. Now, with a $70 million investment from Fortress, he is committed to transforming Red Lobster and ensuring the investment yields returns.

“Red Lobster is an iconic brand with a tremendous future. I’m looking forward to working with our team members across North America to reinvigorate the brand by making it the best place to work for our employees and improving the experience for our guests,” said Adamolekun.

Born to Nigerian parents—his father a neurologist and his mother a pharmacist—Adamolekun moved to the United States at age nine. He earned a Bachelor of Arts in Economics and Political Science from Brown University and later obtained an MBA from Harvard Business School.

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His professional career began in investment banking, working at Goldman Sachs’ Investment Banking Division and later in private equity at TPG Capital, where he oversaw strategic projects. He also served on the board of directors for International Tower Hill Mines LLC.

Adamolekun later became a partner at Paulson & Co., where he managed some of the firm’s most significant investments. In 2019, Paulson & Co. acquired P.F. Chang’s for $700 million, with Adamolekun playing a critical role as the first Black CEO of the Asian-American fusion restaurant chain. Under his leadership, P.F. Chang’s navigated the COVID-19 crisis and emerged stronger, solidifying its status as a leading hospitality brand.

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In addition to his executive roles, Adamolekun serves on the boards of New York-based restaurants NuLeaf and Inday. He believes that reviving Red Lobster requires assembling a strong executive team and fostering a culture of leadership and innovation.

His leadership and strategic vision have earned him recognition in major publications, including Forbes, Fortune, Business Insider, Fox Business, Bloomberg News, Yahoo Finance, CNBC, Nation’s Restaurant News, Time Out New York, New York Business Journal, and the Harvard Business Review.

When questioned about his age and its impact on his leadership, Damola remained unfazed. “I’ve held positions of authority for a long time. My 35 might not be the same as someone else’s 35, but at the end of the day, age is just a number,” he remarked. “What truly matters is experience, character, integrity, intelligence, and communication skills—qualities that vary from person to person. Age is just one small part of the equation.”

A testament to his excellence, Adamolekun has received numerous accolades. In 2021, he won three GLOBEE Leadership Gold Awards for CEO of the Year in Food and Beverage, CEO of the Year in Hospitality, and Top CEO of the Year: The Rising Star. Additionally, he received the GLOBEE Leadership Silver Award for Transformational Leader of the Year. In 2022, he was named on the Nation’s Restaurant News Power List as one of the most innovative and inspiring leaders in the restaurant industry.

As for his favourite order at Red Lobster? The Bairdi crab, a variety of snow crab, remains his go-to dish.