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Twin Peaks Files for Chapter 11 Bankruptcy Amid Debt Struggles
Company seeks financial restructuring after failing to pay interest on $1.2 billion in debt, facing creditor demands for full repayment.
- The Beverly Hills-based parent company, FAT Brands, filed for Chapter 11 in Texas on Jan 26, alongside its Texas-based subsidiary Twin Hospitality Group.
- FAT Brands failed to make interest payments on US$1.2 billion in securitisation debt in October, leading to creditor demands for full repayment and refinancing failures.
- FAT Brands operates more than 2,300 eateries and a pipeline of about 900 committed locations, with Sysco and DoorDash as large unsecured creditors claiming about $5 million and $1.4 million, while the company covered $400,000 in recent paychecks.
- Shares plunged 45% after the announcement while iconic brands Fatburger and Johnny Rockets will remain open; 352 Capital sued last week and shareholders and franchisees filed lawsuits in recent months.
- FAT Brands says Chapter 11 will let it deleverage and boost stakeholder value, with co‑branding expected to generate $300 million in incremental earnings, amid recent years' casual‑dining restructurings.
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The New York Ledger
The New York LedgerRestaurant giant files for bankruptcy under massive debt shortly after touting major expansion
Restaurant franchiser FAT Brands, which owns popular fast-casual chains including Fatburger, Johnny Rockets and Twin Peaks, has filed for bankruptcy amid a mounting debt of roughly $1.3 billion.The California-based company, which oversees 18 restaurant brands with more than 2,200 locations worldwide, filed for Chapter 11 bankruptcy in Texas on Monday.Its subsidiary, Texas-based Twin Hospitality Group, which spun off from FAT Brands in 2025 prima…
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Total News Sources12
Leaning Left0Leaning Right4Center2Last UpdatedBias Distribution67% Right
Bias Distribution
- 67% of the sources lean Right
67% Right
C 33%
R 67%
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