FAT Brands Reaches Bankruptcy Sale Agreements for All Brands

Lenders to FAT Brands Inc. submitted winning bids to take over most of the bankrupt restaurant chain owner’s brands in exchange for existing debt, while the company landed $10.5 million in cash deals for two of its restaurant concepts.

A group of FAT Brands lenders, which provided the operator with a $46 million new money loan while in bankruptcy, was announced Tuesday as the auction winner for substantially all of the company’s brand assets, excluding those affiliated with the Hot Dog on a Stick chain and Elevation Burger.

FAT Brands, which filed for Chapter 11 in January with about $1.45 ...