Restaurant chain Cote considers partial insolvency

Fri, 11 May 2018 | ADMINISTRATION

Restaurant chain Cote is considering pursuing insolvency for part of its business following recent financial difficulties.

According to reports, BC Partners-owned Cote is already looking to close a number of its restaurants that trade under the Limeyard and Jackson & Rye brands, all of which were purchased in 2016.

While the main Cote sites are said to be performing "resiliently", Cote has revealed that it still needs to take action on the other sites to prevent further financial pressure on the group.

As a result, Cote has revealed that one potential option would be a Company Voluntary Arrangement (CVA), which is a form of insolvency that would allow for the closing of a number of sites and a reduction in rent on remaining restaurants. This could eventually lead to the partial business sale of a branch of the group.

Commenting on the news, a spokesman for Cote has confirmed that the group is currently exploring a number of options as it attempts to cope with the current difficulties facing the restaurant sector and high street in general.

"In some instances we have closed or sold outlets, and we are working hard to find viable options for others while continuing to support those that are trading well."

He added: "Our Cote restaurants continue to perform well, which is a testament to the strength of that offer in what remains a very challenging environment."

A number of high street companies have resorted to CVAs in recent months as a result of the issues currently facing the retail and food sectors. These include Toys R Us, Carpetright, New Look and House of Fraser, as well as restaurant chain Prezzo.


Share this article



Latest Businesses for Sale

High Class Restaurant
UK Wide

It is not often that a restaurant of this quality and profitability comes on the market. The location is in the very heart of the city in a desirable position. There is easy access from parking areas and pedestrian areas alike. The cuisine offered is...

Asking Price: £595,000
Turnover: £800,000

LEASEHOLD


Fast Food Franchisor, Consumables Provider & Equipment Manufacturer
UK Wide

The group offered for sale is heavily involved in the fast food restaurant industry, with services including franchising and the manufacture of catering equipment and consumables. Currently works with 25 wholesalers, who further distribute to circa 7...

Asking Price: Offers Invited
Turnover: £3,930,000

LEASEHOLD


Sushi Restaurant
Sheffield, South Yorkshire, Yorkshire and the Humber, UK

The business currently operates under a managed restaurant business model with a strong team in place and little commitment is needed from the owner, this makes it an excellent opportunity for an established operator looking for an additional site, o...

Asking Price: £295,000
Turnover: £700,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
17
 
Jan
 

Sample book and shade card manufacturer acquired from administration | BUSINESS SALE

The business and assets of Yorkshire-based display products ...

 
16
 
Jan
 

Northgate and Redde shareholders approve merger | MERGER

The proposed merger of listed companies Northgate and Redde ...

 
15
 
Jan
 

SSE sells retail business to OVO Energy | DIVISION SALE

Power utility SSE has announced it has completed the sale of...

Free guide: 10 Biggest Buyer Mistakes

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

Email


Related News

 
29
 
Apr
 

Pret owner set to buy Côte | BUSINESS SALE

Pret a Manger's owner, private equity firm Bridgepoint,...

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