Cafe chain Le Pain Quotidien has entered administration, shutting 9 of its ten shops and reducing 250 jobs.
Brunchco UK, buying and selling as Le Pain Quotidien within the UK, has introduced in Kroll to behave as directors for the enterprise.
While 9 shops are to shut, one will stay open in St Pancras International station in London. It just isn’t owned by Brunchco UK, however fairly a sister firm, SPQ Holdings Limited.
The overwhelming majority of closures are in central London.
The branches set to shut are in:
• Parsons Green
• Monument
• Royal Festival Hall, Southbank
• South Kensington
• Covent Garden
• Mayfair
• Hyde Park
• Marylebone High Street
• Oxford
Kroll has mentioned the 250 workers have been made redundant.
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Other choices, as an alternative of ceasing buying and selling, have been examined by the corporate. It explored getting into an organization voluntary settlement, which might have allowed collectors to be paid over a set interval.
Also thought of was a sale of the enterprise and property. While there have been affords obtained, Kroll mentioned none have been able to being carried out.
The espresso and brunch spot had confronted monetary stress attributable to the price of dwelling disaster and falling footfall within the metropolis, the administrator mentioned.
“Pressures on parts of the hospitality and casual dining sector have been well highlighted,” mentioned Kroll’s international co-head of restructuring, Sarah Rayment.
“Brunchco UK Limited which is predominantly located in London has suffered from reduced revenues as a result of decreased footfall in the Capital, high rents and increased wage costs.”
The UK Le Pain Quotidien enterprise, the identify of which implies ‘the day by day bread’ in French, had been purchased within the early months of the pandemic.
Prior to COVID-19 there have been 26 UK websites, owned by a Belgian firm.
Le Pain Quotidien’s worldwide operations, in additional than a dozen nations the world over, are unaffected.
Content Source: information.sky.com