08:48 AM EDT, 09/24/2025 (MT Newswires) -- FAT Brands ( FAT ) and its creditors are discussing a potential restructuring of roughly $1.2 billion worth of debt, Bloomberg reported Wednesday, citing people with knowledge of the discussions.

FAT Brands ( FAT ) has struggled to service its debt, the report said, citing a person familiar with the matter.

Investment bank Houlihan Lokey ( HLI ) is leading the creditors, the report said.

The company also said in a regulatory filing Wednesday that it plans to sell more shares of its Twin Peaks franchise, which it spun off earlier in 2025.

FAT Brands ( FAT ) and Houlihan Lokey ( HLI ) did not immediately reply to MT Newswires' request for comment.

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