Fat Brands Eyes IPO For Twin Peaks Business: Report

Fat Brands Inc. FAT reportedly intends to spin off its Twin Peaks sports bar business.
The restaurant franchising company seeks to maximize value for shareholders and boost the company's growth with this spin-off.
"It's the largest brand we own by same source sales and it has significant growth opportunities," reported Bloomberg, citing Fat Brands founder and Chairman Andy Wiederhorn.
Fat Brands aims to complete an initial public offering of Twin Peaks in six to 12 months, with the new company fetching a value of $750 million to $1 billion, including debt, stated the report citing Wiederhorn.
In 2021, Fat Brands acquired Twin Peaks for $300 million.
Twin Peaks has a presence in 26 states and Mexico. Compared to when Fat Brands acquired the company, Twin Peaks expects to have 115 locations by the end of the year, a nearly 40% increase, added Bloomberg.
Price Action: FAT shares closed higher by 4.17% at $6.50 on Monday.