Jamie’s Italian creditors approve CVA

Jamie Oliver Restaurant Group has confirmed that creditors have overwhelmingly supported the group’s Company Voluntary Arrangement (CVA) plan, which is likely to see at least 12 restaurants close.

Immediately following the announcement came the news that the two Barbecoa sites – at One New Change and Piccadilly – had been put on the market.

The sites are being marketed through Christie & Co individually on long leases, with offers now being invited.

A spokesperson for the group said: ”As part of our ongoing and comprehensive review of the Restaurant Group and its operations, we have instructed a firm of Real estate experts to ascertain the potential value and market suitability of two of our sites.”

The group last year pulled out of opening a third iteration of the concept, at Nova Victoria.

Under the terms of the CVA the group had already agreed to close restaurants in: Bath, Bristol, Bluewater, Chelmsford, Greenwich, Harrogate, Kingston, Milton Keynes, Piccadilly Diner, Reading, St Albans and Threadneedle St.

It is also seeking a 30% cut in the rent at eight further marginal sites.

In a statement, the company said: “We are pleased to have received the overwhelming support from our creditors for our proposal to reshape Jamie’s Italian restaurants. We have a strong brand and are focused on continuing to deliver the levels of service, taste and the experience our loyal customers deserve.

“We are working hard to ensure that our estate is fit for the current trading environment and we feel confident that this newly shaped business will provide strong opportunities for growth and profitability.”

Last month MCA revealed details from the CVA document, which showed under-investment in its estate, especially older restaurants, while investing in unsuitable or costly newer locations, were two of the main reasons for the restructure.

 

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