DMD Ventures — a Davie, Fla.-based franchisee of Twin Peaks, Papa Johns, Candlewood Suites, and other non-hospitality ventures — has filed for Chapter 11 bankruptcy protection. The company has filed simultaneous bankruptcy petitions for its two affiliated businesses, DMD Florida Development 2, LLC and DMD Florida Restaurant Groups C and D LLC, which own and operate separate Twin Peaks restaurants.
The company is facing a $12 million lawsuit from one of its largest creditors, Florida Restaurant Franchise Group, a commercial real estate development and holding company and affiliate of Jafrejo Holdings. Jafrejo Holdings has previously owned and developed VooDoo BBQ & Grill and Twin Peaks Restaurants, but is permanently closed, according to a Google business listing.
The Chapter 11 bankruptcy filing indicates that DMD Ventures has under $1 million in assets and between $10-$50 million in debts, with the largest creditor being Florida Restaurant Franchise Group. The bankruptcy appears to be motivated by this pending litigation.
DMD Ventures filed for bankruptcy the same year that Twin Peaks is expected to go public. Last November, parent company FAT Brands filed a Form 10 Registration Statement with the U.S. Securities and Exchange Commission for the newly named Twin Hospitality Group.
FAT Brands plans to officially spin off Twin Peaks and its affiliate Smokey Bones in 2025, with an IPO expected to follow shortly thereafter.
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