Round Table Pizza owner Fat Brands has filed for bankruptcy. | Photo: Shutterstock.
Fast-food restaurant chain collector Fat Brands declared bankruptcy on Monday under a mountain of debt and after it was unable to come to an agreement with its bondholders.
The company owes $1.45 billion in securitized debt, most of which is through a series of whole business securitizations (WBS) taken out in 2020 and 2021 to fund several acquisitions. Yet those securitizations left the company without enough funds to cover its costs, effectively “starving the business,” according to a court filing this week.
The company has hired a chief restructuring officer, John DiDonato, the managing director of Huron Consulting Services, along with a deputy in…