Thursday, April 22, 2021

FAT Brands Inc. (FAT)
Upsized $144 Million Securitization Provides Multiple Benefits

FAT Brands Inc is a multi-brand restaurant franchising company. It develops, markets, and acquires predominantly fast casual restaurant concepts. The company provides turkey burgers, chicken Sandwiches, chicken tenders, burgers, ribs, wrap sandwiches, and others. Its brand portfolio comprises Fatburger, Buffalo’s Cafe and Express, and Ponderosa and Bonanza. The company’s overall footprint covers nearly 32 countries. Fatburger generates maximum revenue for the company.

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

Whole Business Securitization. After the market closed Tuesday, FAT Brands announced the completion of a $144.5 million offering of fixed rate asset-backed notes, structured as a whole business securitization. This is the Company’s third successful securitization over the past twelve months, with the amount raised rising from the initial $40 million raise in March 2020.


More Ammunition.  The upsized deal provides FAT Brands with additional capital to continue its strategy of acquiring high growth potential restaurant concepts to its existing stable of nine restaurant brands. At the end of the fourth quarter, the Company had $80 million of existing Notes and a $5 million sellers note outstanding. If all of these were refinanced, that would leave some $60 million of …

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary.  Proper due diligence is required before making any investment decision.