FAT Brands

Last updated
FAT Brands Inc.
Company type Public
Nasdaq:  FAT
Industry Restaurants
Founded2017;7 years ago (2017)
Headquarters,
United States
Key people
Ken Kuick (Co-CEO)
Rob Rosen (Co-CEO)
Thayer D. Wiederhorn (COO)
RevenueIncrease2.svg US$480.5 million (2023) [1]
Increase2.svgUS$−22.3 million (2023) [2]
Increase2.svgUS$−90.1 million (2023) [3]
Total assets Increase2.svgUS$1.39 billion (2023) [4]
Total equity Increase2.svgUS$15.6 billion (2023) [5]
Number of employees
7,390 (December 2023) [6]
Subsidiaries Fatburger
Marble Slab Creamery
Johnny Rockets
Hurricane Grill & Wings
Great American Cookies
Round Table Pizza
Ponderosa Steakhouse
Bonanza Steakhouse
Buffalo's Cafe
Fazoli's
Hot Dog on a Stick
Native Grill & Wings
Twin Peaks
Pretzelmaker
Yalla Mediterranean
Elevation Burger
Smokey Bones
Website fatbrands.com

FAT Brands Inc. is an American multi-brand restaurant operator headquartered in Beverly Hills, California.

Contents

History

FAT Brands began as a holding company for Fatburger in 2017, gaining a chairman in Ed Rensi. On August 13, 2020, Johnny Rockets was acquired by FAT Brands for $25 million. [7]

In July 2021, FAT purchased Global Franchise Group, [8] now owning Round Table Pizza, Hot Dog on a Stick, Great American Cookies, Pretzelmaker and Marble Slab Creamery. On September 1, 2021, FAT Brands announced that it would acquire Twin Peaks, for $300 million. [9] The acquisition was completed on October 1. [10]

In May 2022, it was announced FAT Brands had acquired the franchised chain, Nestlé Toll House Café for an undisclosed sum, and plans to convert all 86 locations to Great American Cookies locations. [11]

In September, 2023 FAT purchased Smokey Bones from Sun Capital Partners for $30 million. [12]

In 2024, Andrew Wiederhorn, ex-CEO, current controlling shareholder, and Chairman of the Board of FAT Brands, was indicted on federal criminal charges, accused of taking $47 million in shareholder loans for his personal benefit which were then never paid back, also concealing millions of dollars in reportable compensation and taxable income from the Internal Revenue Service. Former CFO Rebecca D. Hershinger was also accused of assisting Wiederhorn in the scheme. [13] The Board of Directors was never informed about the "loans", [14] Fat Brands never disclosed them as related party transactions to investors, and they were written off after the company merged with its largest shareholder, Fog Cutter Capital Group (also majority-owned by Wiederhorn), in 2020. [15] The U.S. Securities and Exchange Commission and the U.S. Attorneys Office for California had previously opened investigations into the company and Wiederhorn in 2021, [16] and Wiederhorn had resigned as CEO in 2023 as a result of the investigation, later restructuring the Board of Directors with members under his control. [13]

Brands

As of May 2022, FAT Brands own the following chains:

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<span class="mw-page-title-main">Fatburger</span> American restaurant chain

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<span class="mw-page-title-main">Ponderosa and Bonanza Steakhouses</span> American restaurant company

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<span class="mw-page-title-main">Smokey Bones</span>

Barbeque Integrated Inc. is an American casual dining restaurant chain owned by FAT Brands. Its franchise headquarters are in Beverly Hills, California. As of April 2023, Smokey Bones has 62 restaurants in 16 Eastern states. Under its previous owner, Smokey Bones had as many as 128 restaurants across most of the United States before it shrank to its current core area.

Andrew A. Wiederhorn is an American businessman from Portland, Oregon. He serves as the Chairman and Founder of FAT Brands Inc., a restaurant franchising company that owns 17 restaurant brands and franchises over 2,300 units worldwide. Previously, he served as CEO and President of FAT Brands from 2017 to 2023. Prior to FAT Brands, he founded and served as the Chairman and CEO of Fog Cutter Capital Group Inc., Wilshire Financial Services Group Inc. and Wilshire Credit Corporation, with a then net worth of $140 million.

<span class="mw-page-title-main">Marble Slab Creamery</span> American icecream parlour chain

Marble Slab Creamery is an American chain of ice cream shops owned by FAT Brands. Its corporate offices are in Atlanta, Georgia.

<span class="mw-page-title-main">MaggieMoo's Ice Cream and Treatery</span> Chain of icecream shops

MaggieMoo's Ice Cream and Treatery is a chain of independently owned and operated franchised stores that specialize in serving ice cream and other desserts. The first MaggieMoo's opened in 1989 in Kansas City, Kansas. At its peak, the brand had 400 stores and had a goal of opening over 1,000 stores. The brand's headquarters are in unincorporated Fulton County, Georgia. When MaggieMoo's was an independent company, it had its headquarters in Columbia, Maryland. It later became a franchise brand in the portfolio of Global Franchise Group, along with Marble Slab Creamery, until 2021 after Global Franchise Group was acquired by FAT Brands.

Global Franchise Group was a brand-acquisition and management firm headquartered in Atlanta, Georgia, United States. It specialized in franchising and quick-service restaurant industries. It was founded in 2010 with the acquisition of NexCen Brands' properties and was acquired by FAT Brands in July 2021.

<span class="mw-page-title-main">Pretzelmaker</span> US bakery chain

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<span class="mw-page-title-main">Great American Cookies</span> North American gourmet cookie chain commonly found in shopping malls

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<span class="mw-page-title-main">MTY Food Group</span> Canadian restaurant franchisor and operator

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<span class="mw-page-title-main">Twin Peaks (restaurant chain)</span> American chain of sports bars and restaurants

Twin Peaks is an American chain of sports bars and restaurants based in Lewisville, Texas, which has been described as an "ultimate sports lodge" and breastaurant along with similar chains. The chain is known for having its waitresses, primarily young women and typically referred to as "Twin Peaks Girls", dress in revealing uniforms that consist of cleavage- and midriff-revealing red plaid tops, as well as khaki shorts or denim short shorts. At other times, waitresses wear revealing seasonal or themed outfits. Restaurants are decorated in the theme of a wilderness lodge and serve a mix of American, Southwest and Southern cuisines as well as alcohol. The chain's slogan is "Eats. Drinks. Scenic Views."

<span class="mw-page-title-main">The Habit Burger Grill</span> American fast casual restaurant chain

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References

  1. "Fat Brands Inc. 2023 SEC Form 10-K" (PDF).
  2. "Fat Brands Inc. 2023 SEC Form 10-K" (PDF).
  3. "Fat Brands Inc. 2023 SEC Form 10-K" (PDF).
  4. "Fat Brands Inc. 2023 SEC Form 10-K" (PDF).
  5. "Fat Brands Inc. 2023 SEC Form 10-K" (PDF).
  6. "Fat Brands Inc. 2023 SEC Form 10-K" (PDF).
  7. "Burger merger: Fatburger owner is buying Johnny Rockets for $25 million". CNN. August 13, 2020. Retrieved August 13, 2020.
  8. "FAT Brands Completes Acquisition of Global Franchise Group".
  9. "FAT Brands Inc. Agrees to Acquire Twin Peaks Restaurant Chain for $300 Million". GlobeNewswire News Room (Press release). 1 September 2021. Retrieved 5 September 2021.
  10. "FAT Brands Inc. Completes $300 Million Acquisition of Twin Peaks Restaurant Chain". GlobeNewswire News Room. 1 October 2021. Retrieved 3 October 2021.
  11. "FAT Brands to acquire franchised chain Nestlé Toll House Café by Chip". Verdict Food Service. 2022-05-26. Retrieved 2022-05-26.
  12. "FAT Brands Announces Acquisition of Smokey Bones Barbecue Chain".
  13. 1 2 Mejia, Brittny; Hamilton, Matt (2024-05-10). "Ex-Fatburger boss used company funds for Rolls-Royce and other luxuries in $47-million scheme, indictment says". Los Angeles Times. Retrieved 2024-05-29.
  14. "Prosecutors say former head of Fatburger, Round Table Pizza concealed $47 million of income in tax evasion scheme". KTLA. 2024-05-10. Retrieved 2024-05-29.
  15. Lucas, Amelia (2024-05-10). "Fat Brands stock craters after company, chair Andy Wiederhorn charged in $47 million 'sham' loan scheme". CNBC. Retrieved 2024-05-29.
  16. Michaels, Laura (2023-03-07). "FAT Brands CEO Andy Wiederhorn Steps Down Amid Government Investigation". Franchise Times. Retrieved 2024-05-29.