NASSAU, BAHAMAS — The Securities Commission of The Bahamas (SCB) says it is pursuing Pinnacle Franchise Brands to ensure the company meets its obligations to investors following the failed crowdfunding venture that aimed to bring the Red Lobster restaurant franchise to The Bahamas.
In a statement, the Commission said it is aware of a letter circulated on April 8, 2025, by the joint official liquidators of Mdollaz Ltd, trading as ArawakX, to “all interested parties.” The regulator described the letter as “potentially misleading” in relation to Pinnacle Franchise Brands, noting that it “does not reflect investors’ rights with respect to Pinnacle, and its obligations as a public issuer.”
That letter had advised investors that Red Lobster/Pinnacle Franchise Brands had “decided not to proceed” with the business plan due to “circumstances beyond its control,” telling nearly 900 local investors: “Your investment in this issuer is lost.” While it remains unclear what circumstances led to the project’s cancellation, the June 2023 death of Pinnacle’s chief executive and main investor, Chris Mortimer, along with financial troubles at Red Lobster’s U.S. operations, are believed to have been contributing factors. Reports as late as 2024 had suggested the project was still moving forward.
The Securities Commission said it is taking steps to ensure Pinnacle complies with its obligations to investors as a public issuer under the Securities Industry Act, 2024, and the Securities Industry (Business Capital) Rules, 2021.
