Fat Brands Faces Bankruptcy as Lenders Demand Immediate $1.3B Debt Payment

Tuesday, Nov 25, 2025 2:29 pm ET1min read

Fat Brands, a restaurant company, risks bankruptcy after lenders demanded immediate payment on $1.3B debt. The company does not have the cash to pay down the loans and is seeking to reorganize through a bankruptcy proceeding. Fat Brands accrued significant debt through a series of acquisitions and had a difficult quarter with a 3.5% decline in same-store sales. The company continues to open new units across its brands.

Fat Brands Faces Bankruptcy as Lenders Demand Immediate $1.3B Debt Payment

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