Jamie Oliver restaurant empire collapses into administration

Wed, 22 May 2019 | ADMINISTRATION



Celebrity chef Jamie Oliver, who shot to fame after campaigning for healthier school meals and general eating, has said he is “devastated” after announcing that his restaurant group collapsed into administration after failing to receive fresh funding to support the company’s finances.

Joint administrators Will Wright and Mark Orton from KPMG have been appointed to handle the administration processes for Jamie’s Italian chain, Fifteen and Barbecoa.

Of Oliver’s 25 restaurants across the country, 22 have shut down as a result of the insolvency. The remaining three will continue to trade in the short-term whilst the administrators explore options for their future.

In a statement to the public, the administrators said: “The group had recently undertaken a process to secure additional investment into the business and, since the beginning of this year, Jamie Oliver has made available additional funds of £4 million to support the fundraising.

“However, with no suitable investment forthcoming and in light of the very difficult current trading environment, the directors resolved to appoint administrators.”

In spite of the administration, Jamie Oliver’s international restaurants trading under the Jamie’s Italian, Jamie’s Pizzeria and Jamie’s Deli brands remain unaffected.

The administration comes two years after which the business underwent a restructuring process to cull its unprofitable venues. During this time, Oliver provided personal guarantees to HSBC and Brakes, its lender and distributor respectively, to allow them to claim against him for unpaid bills – a figure that now stands at £37 million.

The collapse of the UK restaurants has been put down to a result of its inability to keep up with rapidly changing trends in a dynamic environment.

Partner at law firm Gordons, and a hospitality industry expert, Simon Mydlowski, commented on the administration saying: “To be successful in this sector you have to be constantly evolving – from the menus and the drinks choice, to the way you engage with customers.

“Faced with higher rent, rising food prices and increased competition, restaurants need a point of difference – it’s no coincidence that smaller brands with the freedom and flexibility to keep things fresh are currently the ones performing well.”

For more news stories about administrations click here. For all our administrations listings, click here.


Share this article



Latest Businesses for Sale

High-Street & Online Butcher
Scotland, UK

Award-winning retail & wholesale butcher offering a wide range of meat products handmade at its large production facility selling to a loyal local customer base from its high-street shop & online. Offers invited.

Asking Price: Offers Invited
Turnover: £1,993,000

Butchers
Northamptonshire, UK Wide

This long-established business of over 50 years has built up an enviable reputation within this sector of the market for quality and customer service and is award winning and which due to retirement this rare and exciting opportunity has now become a...

Asking Price: £535,000
Turnover: £1,569,695

FREEHOLD


Bakery
Atherstone, Warwickshire, UK Wide

A well established business with an enviable reputation and many existing customers. Prime trading position in the centre of town. All fixtures and fittings included making this a real Turnkey business opportunity. Ideal owner managed or partnership...

Asking Price: £749,995
Turnover: £514,000

FREEHOLD



View more businesses for sale

News Search

Latest News

 
11
 
Aug
 

PPL Corp. seeks sale of Western Power Distribution | BUSINESS SALE

PPL Corporation has announced that it has put its UK utility...

 
10
 
Aug
 

Adelie Foods’ Urban Eat brand acquired by Samworth Brothers | BUSINESS SALE

Samworth Brothers has completed the £6.4 million acqui...

 
07
 
Aug
 

Wrexham-based wire firm falls into administration | ADMINISTRATION

Wire manufacturer Wrexham Wire has fallen into administratio...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources