đ„A FAT "Fairytale"đ„
New Filings: FAT Brands Inc. ($FAT) + White Rock Medical Center, LLC. Updates: Linqto Texas, LLC + Sailormen Inc. And some good charts.
The snow storm backended the week so youâre hearing from us for the third time in four days. Sorrrrrry.
Hopefully youâre not too busy rushing out in zero degree weather to catch Melania in theaters (6% Tomatometer, lol) or conspiring to put antibiotics in your wifeâs drink to give us more of your attention this morning.
LOL, donât @ us itâs just a joke, for f*ckâs sake.
Anyway, letâs dig into some new filings and some updated coverage â replete with jokes, of course âŹïž.
đ„New Chapter 11 Bankruptcy Filing - FAT Brands Inc. ($FAT)đ„
Pour one out for poor Johnny: he really hated to see this one.
On January 26, 2026, Beverly Hills-based FAT Brands Inc. ($FAT) (âFat Brandsâ), 95% FAT-owned Twin Hospitality Group Inc. ($TWNP) (âTwin Hospitalityâ), and 180 affiliates (collectively, together with Fat Brands and Twin Hospitality, the âdebtorsâ) filed pretty predictable freefall chapter 11 bankruptcy cases in the Southern District of Texas (Judge Perez). The debtors, which operate 18 restaurant brands in the quick service, fast casual, and casual dining space, have had their hands full the past several years (much like Johnny, đ). We covered that history đ.
Still, Johnny had held out hope that the debtors would find a way to work through their financial troubles without resorting to bankruptcy â which is obviously hard on (đ) the business and, far more distressing for Johnny, the debtorsâ darling employees.*
They deserved better than a harsh crash into chapter 11. Alas, thatâs what they got.
There ainât so much as a whiff of a deal here, but to tell that tale, how about a juxtaposition? For the debtorsâ view of the world, weâll use CRO and Huron Consulting Group Inc. Managing Director John DiDonatoâs first day declaration, and for the creditorsâ ⊠hmmm ⊠letâs go with the chapter 11 trustee motion filed (one day after the petition date) by the ad hoc group of securitization noteholders (the âad hoc groupâ), which holds ~85% of those ~$1.4b in notes and is represented by White & Case LLP (âW&Câ).
Weâll start with Mr. DiDonato: