Zips Car Wash Seeks Rent Concessions as It Burns Through Cash

Atlantic Street Capital-backed Zips Car Wash is seeking rent concessions from landlords as it runs out of cash, according to people with knowledge of the matter.

The car wash operator is exploring options including filing for bankruptcy if a deal cannot be reached on its rents, said the people, who asked not to be identified discussing a private matter. Zips is also in negotiations with lenders including HPS Investment Partners, PennantPark Investment Corp. and Brightwood Capital Advisors to hand over keys of the business to its private credit lenders, they added.

The plans are not finalized and could ...