TGI Fridays to Cease Operations in South Korea

TGI Fridays entered the South Korean market in the 1990s but has struggled in recent years amid evolving dining preferences and growing competition. (Wikimedia Commons)

SEOUL, Feb. 5 (Korea Bizwire) —  TGI Fridays is set to exit the South Korean market, with its local operator, MFG Korea, announcing plans to close all remaining locations in the country. The company will shut down stores gradually as their lease agreements expire, prioritizing its focus on the Mad for Garlic restaurant brand.

Currently, TGI Fridays operates 14 locations in South Korea, including those in Lotte Department Stores and Lotte Outlets. Ten of these locations will close by the end of this month, with the remaining four scheduled to cease operations next month.

MFG Korea clarified that the decision is unrelated to TGI Fridays’ U.S. headquarters filing for Chapter 11 bankruptcy protection in November 2024. In the United States, the restaurant chain has struggled to keep up with shifting consumer trends and rising inflation, which have eroded its price competitiveness.

Market research firm Technomic reported that TGI Fridays’ U.S. revenue in 2024 was $728 million, reflecting a 15% decline from the previous year. The chain operated 292 locations in the U.S. last year, an 11% drop from 2021. Earlier this year, the company closed 36 underperforming locations, followed by an additional 12 closures nationwide last month.

Founded in 1965 by New York restaurateur Alan Stillman, TGI Fridays became a popular gathering spot and expanded internationally over the decades. At its peak, the chain operated nearly 600 locations across 44 countries.

TGI Fridays entered the South Korean market in the 1990s but has struggled in recent years amid evolving dining preferences and growing competition.

With the closure of its South Korean operations, the brand’s footprint continues to shrink, reflecting the broader challenges facing casual dining chains worldwide.

Lina Jang (linajang@koreabizwire.com)