š„The Horror of Bankruptcy Feesš„
Filings: Bitcoin Depot Inc., Warrior Technologies LLC, Wiser Solutions, Inc. + Updates: TPI Composites Inc. and Fat Brands Inc. ($FAT). Plus: Gossamer Bio Inc. ($GOSS)
Thereās a lot of ground to cover today so we intended to dig right in. But first, as we were putting the finishing touches on this a$$-kicking gem, controversy dropped/trended on X:
Which anyone who knows anything could have seen coming from a f*cking mile away.
Unclear what youāre looking at? Thatās šSpirit Aviation Holdings Inc. counsel, Davis Polk & Wardwell LLP, lobbing in a fee application for $4.74mm for a month of work ā April ā26 ā right before their client went ā¦
Needless to say, people werenāt thrilled:
Itās a bit much to pick on the associates, though, yāall. You think poor Cameron enjoyed working 194.7 hours in April? Do you? Especially under these facts? We mean, typically these slaves justify their ungodly hours to friends and family by saying trite sh*te like ābut Iām working to save jobsā or āIām preserving tax revenue that feeds entitlement programsā or some other massive justification and rationalization. Kind of hard to do that here, though, aināt it? So maybe cut pitiable Cameron a little bit of slack, Sujeet, yeah? Itās not like she has any control over how many hours she worked or her billable rate.
That said, Sujeet wasnāt the only one with commentary:
This š was a ā¦ take. Pretty sure the commentary wasnāt so focused on the secured creditors, lol.
Anyway, someone call the Fed:
LOL.
And, now, without further ado, this weekās coverage ā¬ļø.
ā”Update: Fat Brands Inc. ($FAT)ā”
Recall that, in late January ā26, the Beverly Hills-based, business-securitized FAT Brands Inc. ($FAT) (āFat Brandsā), 95% FAT-owned Twin Hospitality Group Inc. ($TWNP) (āTwin Hospitalityā and together with Fat Brands, the āmanagersā), and 180 affiliates (collectively, together with Fat Brands and Twin Hospitality, the ādebtorsā) filed aimless, ~$1.45b-indebted chapter 11 freefall cases in the Southern District of Texas (Judge Perez). You can refresh yourself here ā¦
ā¦ and for reference, hereās the corporate/capital structure:
As of the filing, the debtors ā with *cough* convicted felon Andrew Wiederhorn at the helm ā carried the support of ā¦ well, no one.* Least of all the ad hoc group of securitization noteholders (the āad hoc groupā), which holds ~85% of that debt āļø, but also 3|5|2 Capital GP LLC (ā352ā), an owner of notes issued by FB Resident Holdings I, LLC, to whom Fat Brands had pledged all its juicy manager fees.
It all so quickly got so contentious. Like shortly after the petition date, the ad hoc group dropped these on the docket:
To its credit, 352 lobbed in an adversary complaint to validate its senior lien over Fat Brandsā fees, which the debtors had been trying to hold onto for themselves.
Mediation, therefore, followed oh so very quickly too.
Which continued (to March 3). And continued (March 9). And continued (March 17). And continued (March 24). And continued (April 10). And continued (May 8). And continued (June 1).
Around the time of the fifth mediation order, logs began to unjam.