Brödernas Burger Chain Faces Collapse with Five New Bankruptcies

Is the burger boom coming to an end? Five more restaurants within the Brödernas burger empire have now filed for bankruptcy, reports Mitti.

The Brödernas burger chain was founded in 2017 by Joakim and Jonas Wiklander. Three years later, brothers Monir Kalgoum and Mika Zibanejad, the latter known as an NHL player for the New York Rangers, also became co-owners.

The chain experienced significant growth during its first four years, and in 2021, the company was valued at 1 billion SEK according to Breakit.

However, in recent years, the situation has deteriorated. In 2023, the group reported a loss of 175 million SEK, and since the chain applied for corporate restructuring in October last year, several restaurants have closed. In March, Breakit reported that 33 bankruptcies had occurred across the country.

Five More Restaurants File for Bankruptcy

In June, even more restaurants have filed for bankruptcy, writes Mitti. These include Brödernas in Mälarhöjden, Liljeholmsgallerian, Sickla, Rosersberg, and Äppelviken.

Staff have been laid off due to a lack of work.

– These companies have been declared bankrupt after the group conducted a review of all companies as part of the ongoing restructuring. It was determined that these companies were not profitable enough to continue operations, says Malin Sanderson, bankruptcy trustee at Advokatfirman Carler, to Mitti.

According to Mitti, eleven Brödernas restaurants have now filed for bankruptcy in Stockholm.