Prezzo to sell off 27 restaurants to safeguard future

Tue, 25 Jul 2017 | DIVISION SALE

Italian restaurant group Prezzo has announced it will sell 27 of its UK locations and rein in new openings, as many restaurant operators in the country continue to slim down their offerings.

Matching moves made by Jamie’s Italian, Strada and Byron, Prezzo is hoping to find buyers for almost 10 per cent of its estate, including eight Chimichanga Tex-Mex restaurants and 19 locations or restaurants under its eponymous Italian brand.

Reports from restaurant and pubs industry website MCA reveal that Prezzo has engaged property agents JLL and NG&G to find buyers for the properties.

Though Prezzo was founded by the Kaye family, it was bought by US private equity firm TPG in 2015 in a deal worth £304 million. The decision to sell the leasehold sites comes almost a year after TPG appointed Jon Hendry-Pickup, previously chief operating officer at Travelodge, as Prezzo’s new CEO.

Since then, the group has expanded from 250 to 300 restaurants, revamped its core brand and launched Mexico, a Mexican dining concept.

In a statement announcing the move, Hendry-Pickup said: “So that Prezzo is best positioned for further growth, we’re reviewing the potential disposal of a select number of leases where trading is not in line with the rest of the portfolio, while continuing our programme of opening new restaurants and investing in refurbishments.”

Prezzo joins a host of restaurant operators forced into making closures or disposals of sites thanks to the increasing pressures facing them. Many cite rising labour costs, business rates and food inflation squeezing some margins, particularly in the casual dining space.

Though openings have largely continued, companies such as the Restaurant Group, which runs brands such as Frankie and Benny’s and Chiquito, has closed 45 locations in the past year after its share price plummeted.

Jamie’s Italian – which closed six restaurants – along with Byron (four) and Burger & Lobster (also four) make up some other big names forced into closures this year.

Subscribe to Business Sale Report here

Restaurants for sale


Share this article



Latest Businesses for Sale

Bangladeshi Restaurant
London, UK

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...

Asking Price: £160,000
Turnover: £363,000

LEASEHOLD


Bathroom & Plumbing Supplies
Northamptonshire, UK Wide

Having been established since 1982, this bathroom and plumbing supplies business has grown under the ownership of our clients since it was purchased in 2007. This business boasts an envious reputation and a very strong repeat trade business, it is sa...

Asking Price: £1,100,000
Turnover: £1,146,075

Beauty Salon
London, UK

A uniquely designed and branded beauty business opportunity offering both male and female ‘Sprucing and Beautification’ services. The business opened its doors 5 years ago and due to the time required by our client on his other business interests is...

Asking Price: £180,000
Turnover: £300,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
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...

Free guide: 10 Biggest Buyer Mistakes

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

Email


Related News

 
27
 
Apr
 

Poundworld stores could close as firm considers insolvency | ADMINISTRATION

Budget retail chain Poundworld could shut around one third o...

 
26
 
Mar
 

Prezzo announces closure of 94 restaurants | BUSINESS SALE

The Prezzo restaurant chain has announced that creditors hav...

 
07
 
Apr
 

Prezzo operates a tasty M&A strategy | BUSINESS NEWS

High street restaurant chain, Prezzo, has seen its taste for...

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