Dive Brief:
- Twin Peaks announced that Summit Acquisitions, LLC, has taken a strategic advisory role on behalf of the company’s bondholders, according to a press release.
- Summit, which is made up of tenured franchise operators, will oversee operations and growth strategy while it works to complete the full acquisition of Twin Peaks over the next 12 to 16 months.
- The pending transactions will end Twin Peaks’ association with Fat Brands, which acquired the chain in 2021 for $300 million and spun it off in a 2025 IPO to raise capital. Twin Peaks concurrently declared bankruptcy with Fat Brands in February, as Fat struggled to pay over $1 billion in debt.
Dive Insight:
Twin Peaks was part of a $1 billion sell-off during bankruptcy that also saw Elevation Burger and Hot Dog on a Stick go to different owners in all-cash transactions. The remainder of Fat’s restaurant concepts were sold to a group of lenders dubbed FBG Bid Co. in a debt transaction for nearly $600 million.
Twin Peaks will return to operating as a privately held company, Summit Twin Hospitality I, LLC, per the press release. Summit Acquisitions, LLC, is made up of franchise owners including 3BMgmnt Inc., JEB Food Group and Operadora 2 Montes — the chain’s operator in Mexico — all of which helped scale Twin Peaks across the U.S. and globally.
The company will maintain normal operations and its existing corporate leadership, including Roger Gondek, president and COO; Melissa Fry, CMO; Lexi Burns, chief people officer; and Scott Gray, CFO, will remain in place.
Twin Peaks does not plan to reduce staffing, and expects to hire more team members as it opens new lodges and expands its franchised system.
“This transition gives our team the foundation we’ve needed to execute on the vision we’ve always had for this brand,” said Gondek. “We have a strong system, exceptional operators, and enviable guest loyalty, and now we have the financial footing to match. The best days for Twin Peaks are ahead.”
The brand has over 115 locations and a “growing development pipeline,” the press release said. It recently opened a location in Omaha, with another location set to open on June 29, in Kissimmee, Florida. The chain recently signed a new area development agreement with New London Hospitality to bring the chain into Connecticut, as well as an agreement with InnJoy Hospitality to expand the chain into South Texas cities including Brownsville, South Padre Island and Laredo.
This isn’t the first time operators have taken over management of a bankrupt brand in recent years. Two Hooters franchisees, including the original owners of Hooters, teamed up to buy that chain out of bankruptcy last year with plans to revitalize 111 restaurants through upgrades, equipment enhancements and a streamlined menu.
Correction: A previous version of this article incorrectly listed the franchisees making up Summit Acquisitions, LLC. The operators include 3BMgmnt Inc., JEB Food Group and Operadora 2 Montes.
