PizzaExpress, which has branch on The Wharf, Newark, could close around 67 of 449 UK restaurants with up to 1,100 jobs at risk
PizzaExpress has said it could close around 67 of its UK restaurants, with up to 1,100 jobs at risk, as part of a major restructuring plan to shore up its finances.
The dining chain, which has a branch on The Wharf, Newark, said it plans to launch a Company’s Voluntary Arrangement (CVA) restructuring deal in the near future, in a move that could lead to the closure of 15% of its 449 UK restaurants.
However, it stressed the final outcome of the restructuring was yet to be decided.
It comes as the Newark branch re-opened last week since temporarily closing on March 23.
PizzaExpress said it has hired advisers from Lazard to lead a sale process for the business.
Andy Pellington, group chief finance officer, said: “While we have had to make some very difficult decisions, none of which have been taken lightly, we are confident in the actions being taken to reduce the level of debt, create a more focused business and improve the operational performance, all of which puts us in a much stronger position.
“We can now plan to invest in both our UK&I and international businesses as well as support our teams as they return to work.”
Zoe Bowley, UK and Ireland managing director, said: “Our business has a long history of success, but the UK-wide lockdown has hit the hospitality industry particularly hard.
“While the financial restructuring is a positive step forward, at the same time we have had to make some really tough decisions.
“As a result, it is with a heavy heart that we expect to permanently close a proportion of our restaurants, losing valued team members in the process.”