BurgerFi International Receives Approval of First Day Motions to Support Business Operations
BurgerFi International, Inc. (NASDAQ: BFI) has received interim Court approval for its 'first day' motions to support continued operations during its Chapter 11 restructuring. The Court granted access to $3.5 million of debtor-in-possession financing from TREW Capital Management and approved the use of existing employee benefits, cash management systems, and customer programs. With 144 locations, BurgerFi aims to stabilize operations and maintain high standards for its BurgerFi and Anthony's Coal Fired Pizza & Wings brands.
CEO Carl Bachmann emphasized that the transition into Chapter 11 would not impact employees, customers, or franchise partners. The company plans to propose a sale process with lender support, with a 'second day' hearing scheduled for October 7, 2024. David Heidecorn has resigned as an independent Board member and Chairman. Court filings and restructuring documents are available through the company's claims agent, Stretto, Inc.
BurgerFi International, Inc. (NASDAQ: BFI) ha ricevuto l'approvazione provvisoria da parte del tribunale per le sue mozioni del 'primo giorno' a supporto delle operazioni durante la ristrutturazione ai sensi del Capitolo 11. Il tribunale ha concesso l'accesso a $3,5 milioni di finanziamento come debito in possesso da TREW Capital Management e ha approvato l'uso dei benefit esistenti per i dipendenti, dei sistemi di gestione della liquidità e dei programmi per i clienti. Con 144 location, BurgerFi punta a stabilizzare le operazioni e mantenere alti standard per i suoi marchi BurgerFi e Anthony's Coal Fired Pizza & Wings.
Il CEO Carl Bachmann ha sottolineato che la transizione nel Capitolo 11 non avrebbe impatti sui dipendenti, sui clienti o sui partner in franchising. L'azienda prevede di proporre un processo di vendita con il supporto dei creditori, con un'udienza 'secondo giorno' programmata per il 7 ottobre 2024. David Heidecorn si è dimesso come membro indipendente del Consiglio e Presidente. I documenti depositati in tribunale e quelli relativi alla ristrutturazione sono disponibili tramite l'agente delle rivendicazioni dell'azienda, Stretto, Inc.
BurgerFi International, Inc. (NASDAQ: BFI) ha recibido la aprobación provisional del tribunal para sus mociones del 'primer día' para apoyar las operaciones continuas durante su reestructuración bajo el Capítulo 11. El tribunal concedió acceso a $3.5 millones de financiamiento en posesión del deudor de TREW Capital Management y aprobó el uso de los beneficios existentes para empleados, sistemas de gestión de efectivo y programas para clientes. Con 144 ubicaciones, BurgerFi tiene como objetivo estabilizar las operaciones y mantener altos estándares para sus marcas BurgerFi y Anthony's Coal Fired Pizza & Wings.
El CEO Carl Bachmann enfatizó que la transición al Capítulo 11 no afectaría a los empleados, clientes o socios franquiciados. La compañía planea proponer un proceso de venta con el apoyo de los prestamistas, con una audiencia 'segundo día' programada para el 7 de octubre de 2024. David Heidecorn ha renunciado como miembro independiente de la Junta y Presidente. Los documentos de la corte y los de reestructuración están disponibles a través del agente de reclamaciones de la empresa, Stretto, Inc.
BurgerFi International, Inc. (NASDAQ: BFI)는 제11장 구조조정 동안 운영 지속을 지원하기 위한 '첫 날' 모션에 대해 임시 법원의 승인을 받았습니다. 법원은 TREW Capital Management로부터 $3.5 million의 채무자 소유 자금 조달에 대한 접근을 허가하고 기존 직원 혜택, 현금 관리 시스템 및 고객 프로그램의 사용을 승인했습니다. 144개 매장을 보유한 BurgerFi는 운영을 안정화하고 BurgerFi 및 Anthony's Coal Fired Pizza & Wings 브랜드에 대한 높은 기준을 유지하는 것을 목표로 합니다.
CEO인 Carl Bachmann은 제11장으로의 전환이 직원, 고객 또는 프랜차이즈 파트너에게 영향을 미치지 않을 것이라고 강조했습니다. 회사는 대출자 지원을 받으며 판매 프로세스를 제안할 계획이며, '둘째 날' 심리는 2024년 10월 7일로 예정되어 있습니다. David Heidecorn은 독립 이사 및 의장직에서 사임했습니다. 법원 문서 및 구조조정 문서는 회사의 청구 대리인인 Stretto, Inc.를 통해 확인할 수 있습니다.
BurgerFi International, Inc. (NASDAQ: BFI) a obtenu l'approbation provisoire du tribunal pour ses motions du 'premier jour' afin de soutenir la poursuite de ses activités durant sa restructuration sous le Chapitre 11. Le tribunal a accordé l'accès à $3,5 millions de financement en possession du débiteur de TREW Capital Management et a approuvé l'utilisation des avantages existants pour les employés, des systèmes de gestion de la trésorerie et des programmes clients. Avec 144 emplacements, BurgerFi vise à stabiliser ses opérations et à maintenir des normes élevées pour ses marques BurgerFi et Anthony's Coal Fired Pizza & Wings.
Le PDG Carl Bachmann a souligné que la transition vers le Chapitre 11 n'affecterait pas les employés, les clients ou les partenaires franchisés. L'entreprise prévoit de proposer un processus de vente avec le soutien des créanciers, une audience 'deuxième jour' étant prévue pour le 7 octobre 2024. David Heidecorn a démissionné en tant que membre indépendant du Conseil et Président. Les documents judiciaires et de restructuration sont disponibles par l'intermédiaire de l'agent de réclamations de l'entreprise, Stretto, Inc.
BurgerFi International, Inc. (NASDAQ: BFI) erhielt provisorische Genehmigung vom Gericht für ihre 'ersten Tag'-Anträge zur Unterstützung der Fortführung der Geschäfte während der Umstrukturierung nach Kapitel 11. Das Gericht genehmigte den Zugang zu $3,5 Millionen an Finanzmitteln im Besitz des Schuldners von TREW Capital Management und genehmigte die Nutzung bestehender Mitarbeitervergünstigungen, Bargeldmanagementsysteme und Kundenprogramme. Mit 144 Standorten strebt BurgerFi an, die Geschäfte zu stabilisieren und hohe Standards für die Marken BurgerFi und Anthony's Coal Fired Pizza & Wings aufrechtzuerhalten.
CEO Carl Bachmann betonte, dass der Übergang zu Kapitel 11 keine Auswirkungen auf die Mitarbeiter, Kunden oder Franchise-Partner haben werde. Das Unternehmen plant, mit Unterstützung der Kreditgeber einen Verkaufsprozess vorzuschlagen, wobei eine 'Zweit-Tages'-Hearing für den 7. Oktober 2024 angesetzt ist. David Heidecorn hat als unabhängiges Vorstandsmitglied und Vorsitzender gekündigt. Gerichtliche Unterlagen und Umstrukturierungsdokumente sind über den Anspruchsagenten des Unternehmens, Stretto, Inc., verfügbar.
- Interim Court approval for 'first day' motions to support continued operations
- Access to $3.5 million in debtor-in-possession financing
- Approval for use of existing employee benefits, cash management systems, and customer programs
- Liquidity to stabilize operations and work with vendors and landlords
- Filing for Chapter 11 bankruptcy protection
- Proposed sale process indicates potential change in ownership or restructuring
- Resignation of Board Chairman David Heidecorn
Insights
BurgerFi's Chapter 11 filing and approval of first-day motions signal a critical juncture for the company. The
The retention of 144 locations is positive, but the restructuring's success hinges on maintaining customer loyalty and operational efficiency during this turbulent period. The October 7 hearing for final approval will be pivotal. Investors should closely monitor the bidding procedures and potential buyers, as these will shape BurgerFi's future trajectory and value.
BurgerFi's restructuring reflects broader challenges in the casual dining sector. The company's dual-brand strategy with BurgerFi and Anthony's Coal Fired Pizza & Wings hasn't shielded it from industry headwinds. Key factors to watch include:
- Post-pandemic consumer behavior shifts
- Rising food and labor costs
- Increased competition in the "better burger" segment
The company's ability to maintain quality and brand integrity during restructuring is crucial. Any compromise could lead to a loss of market share in the highly competitive fast-casual space. The outcome of this process could serve as a bellwether for other struggling restaurant chains in the current economic climate.
The abrupt resignation of David Heidecorn as Board Chairman raises governance concerns. Such departures during a critical restructuring phase can signal internal conflicts or disagreements about the company's direction. This leadership vacuum at the board level could complicate decision-making processes and potentially delay the restructuring timeline.
The appointment of Jeremy Rosenthal as Chief Restructuring Officer is a standard move, but his effectiveness will be crucial. Stakeholders should scrutinize the proposed sale process for transparency and fairness. The involvement of Sitrick And Company for strategic communications underscores the importance of managing public perception during this sensitive period. Clear, consistent messaging will be vital to maintain stakeholder confidence.
Secures Interim Approval to Access New Financing
The Court granted interim approval for the Company to immediately access
"The Company has worked very hard to ensure that the transition into Chapter 11 would have no impact on our valued employees, customers and franchise partners," said Carl Bachmann, Chief Executive Officer of BurgerFi International, Inc. "We are very pleased that we received approval of our key motions to support our continued operations including employee wages and benefits, cash management and customer programs."
As part of the financing agreement, the Company intends to propose a sale process and bidding procedures for a sale with the support of its lenders. The "second day" hearing seeking final approval for the Company's requests is scheduled for October 7, 2024.
"Receipt of interim approval of our DIP financing provides the Company with liquidity to fund operating expenses and meet obligations while we restructure. We now have the liquidity for operations at BurgerFi and Anthony's to continue as usual," concluded Jeremy Rosenthal, Chief Restructuring Officer.
The Company filed its voluntary petitions on September 11, 2024, in the
David Heidecorn served notice to the Board of Directors of his resignation as an independent member of the Board of Directors and as Chairman of the Board, effective immediately.
Court filings and other documents related to the restructuring are available on a separate website administered by the Company's claims agent, Stretto, Inc. at cases.stretto.com/BFI. Stakeholders with questions can call (855) 492-7450 or (714) 881-5915 or email BurgerFiInquiries@stretto.com
Proposed advisors to the Company are Raines Feldman Littrell LLP, Force Ten Partners LLC, with Jeremy Rosenthal as the Company's Chief Restructuring Officer, and Sitrick And Company as strategic communications advisor to the Company.
About BurgerFi International (Nasdaq: BFI, BFIIW)
BurgerFi International, Inc. is a leading multi-brand restaurant company that develops, markets, and acquires fast-casual and premium-casual dining restaurant concepts around the world, including corporate-owned stores and franchises. BurgerFi International, Inc. is the owner and franchisor of the two following brands with a combined 144 locations.
Anthony's. Anthony's is a premium pizza and wing brand with 51 restaurants (50 corporate-owned casual restaurant locations and one dual brand franchise location), as of September 10, 2024. Known for serving fresh, never frozen and quality ingredients, Anthony's is centered around a 900-degree coal-fired oven with menu offerings including "well-done" pizza, coal-fired chicken wings, homemade meatballs, and a variety of handcrafted sandwiches and salads. Anthony's was named "The Best Pizza Chain in America" by
BurgerFi. BurgerFi is among the nation's fast-casual better burger concepts with 93 BurgerFi restaurants (76 franchised and 17 corporate-owned) as of September 10, 2024. BurgerFi is chef-founded and committed to serving fresh, all-natural and quality food at all locations, online and via first-party and third-party deliveries. BurgerFi uses
Forward-Looking Statements
This press release may contain "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995, as amended. Forward-looking statements generally can be identified by words such as "anticipates," "believes," "estimates," "expects," "intends," "plans," "predicts," "projects," "will be," "will continue," "will likely result," and similar expressions. These forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties, which could cause our actual results to differ materially from those reflected in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those risks and uncertainties described under the heading "Risk Factors" in the Company's Annual Report on Form 10-K filed with the
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SOURCE BurgerFi International
FAQ
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