Jerry Bregman Discusses FAT Brands Bankruptcy with Nation’s Restaurant News
Jerry Bregman spoke with Nation’s Restaurant News about FAT Brands’ late January 2026 chapter 11 bankruptcy filing. FAT Brands accumulated approximately $1.26 in debt and is in the process of contending with various franchisee and investor lawsuits. With a portfolio of 17 brands, many are intrigued by FAT Brand’s bankruptcy and reorganization process, and if the company will survive going forward.
Jerry notes that FAT Brands’ financing structure is atypical; however, the structure will attempt to achieve the same intended purpose. He states, “FAT Brands has a somewhat atypical financing structure which adds a bit of complexity, but from a big picture standpoint, it’s a typical bankruptcy because the bankruptcy will provide an opportunity for the company to get back on its financial footing.”
Jerry adds that the restructuring process could put FAT Brands back on track. “There are a lot of shared costs that can be reduced, and there are efficiencies that can be gained from that collection of brands. It’s a positive cash-generating business, however, it’s overleveraged,” Jerry concludes.