The private equity-backed operator of the Las Iguanas and Café Rouge chains is set to undergo a painful restructuring after filing a notice of its intention to appoint administrators, which could threaten more than 6,000 jobs.
The Casual Dining Group, which also owns the Bella Italia brand, said that the “prudent measure” would give it time to consider its options and did not necessarily presage administration.
Nevertheless, restaurant closures and job losses seem inevitable. One industry analyst with knowledge of the situation said: “A restructuring could involve either a company voluntary arrangement or administration or a combination of the two. All options are on the table.”
Casual Dining Group, which is chaired by Rooney Anand, the former Greene King boss, is one of Britain’s biggest mid-market restaurant operators, with about 250 outlets and more than 6,000 staff, the majority of whom have been furloughed during the lockdown.
The company, formerly known as Tragus, is no stranger to restructurings. In 2014, it went through a CVA and in 2018 it underwent a financial revamp, including a debt-for-equity swap, that handed majority control from Apollo Global Management to KKR. Apollo and Pemberton Capital Advisors have minority stakes…