Tue, 19 May 2020 | ADMINISTRATION
Casual Dining Group, the company behind restaurant chains including Bella Italia, Café Rouge and Las Iguanas, has filed a notice of intention to appoint administrators. The notice provides the group with 10 working days’ protection from creditors.
The group runs around 250 restaurants across the UK, employing around 6,000 staff. Its restaurants have been hit by the coronavirus lockdown that has seen restaurants in the UK closed since late March.
It has hired advisory firm Alix Partners to allow it to assess its options, including a potential whole group administration, the administration of weaker chains or deals with landlords to close some outlets. CDG is controlled by private equity firm KKR.
Reports suggest that it will launch company voluntary arrangements (CVAs) for two of Bella Italia, Café Rouge and Las Iguanas, with the third being put into administration. The group’s smaller chains, which could be most at risk in a restructuring, include Belgo, Huxleys and Oriel. CDG sold off its tapas chain La Tasca earlier this year.
A CDG spokesperson said: “As is widely acknowledged, this is an unprecedented situation for our industry and, like many other companies across the UK, the directors of Casual Dining Group are working closely with our advisers as we consider our next steps.”
“These notifications are a prudent measure in light of the company’s position and the wider situation. These notifications will also protect the company from any threatened potential legal action from landlords while we review the detail of the government advice and formulate a plan for the company in these difficult times.”
In its most recent accounts, made up to the year ending May 26 2019, the group registered revenue of £23.7 million, a slight increase from the year prior, and gross profit of £1.8 million, up from £1.4 million the year before. At the time, the group has total assets of around £50 million.
View the latest distressed UK businesses here.
This is a brilliant opportunity for an interested buyer to acquiring a thriving Bangladeshi restaurant in a thriving area of London. Longstanding staff. Takeaway and app. Rental income from above flat. Alcohol licence. Busy, affluent area. Offers inv...
LEASEHOLD
Authentic Spanish food. Massive potential for growth. Quaint village location. Great reputation amongst the locals and good online reviews. Lots of repeat trade. Five-bedroom apartment for staff accommodation. Excellent financials. Offers invited.
LEASEHOLD
The business is for sale on a leasehold basis. Excellent service Great reputation Ethically friendly products Established client base Huge potential for growth. Excellent service. Great reputation. Ethically friendly products. Established client base...
LEASEHOLD
|
05
|
|
Jun
|
Azzurri Group exploring options for sale | BUSINESS SALE
Azzurri Group has engaged advisers to explore a potential sa...
|
04
|
|
Jun
|
Frankie & Benny’s owner to permanently close 120 restaurants | BUSINESS NEWS
The Restaurant Group, which owns chains including Frankie & ...
|
03
|
|
Jun
|
28 Oddbins stores saved after acquisition by unnamed buyer | BUSINESS SALE
28 Oddbins stores will remain open after the off-licence ret...
Sign up to receive our acquisition alert emails to get your FREE guide
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources