FAT Brands, owner of Ponderosa and Bonanza Steakhouses and other fast food brands, established a credit facility with TCA Global Credit Master Fund.
According to a related 8-K filing, the company entered into a securities purchase agreement with TCA. TCA agreed to lend the company up to $5 million through the purchase of senior secured redeemable debentures issued by the company.
A total of $2 million was funded by TCA in connection with the initial closing on April 27, 2018. The company will make interest only payments during the first four months, followed by fully amortizing payments for the balance of the term.
The amounts borrowed under the purchase agreement are guaranteed by FAT’s operating subsidiaries and by its parent company, Fog Cutter Capital Group.
