200 jobs lost as restaurant group shuts sites in pre-pack deal
Burger chain Byron is to shut nine restaurants with the loss of 218 jobs as part of a pre-pack deal to save the company.
The restructuring process has resulted in Claire Winder and Chris Pole from Interpath Advisory appointed joint administrators to Byron’s owner, Famously Proper Limited, today.
Immediately following their appointment, the joint administrators concluded a sale of the business and certain assets to Tristar Foods.
Tristar Foods is a newly-created company with two directors – Sandeep Vyas, former chairman of Famously Proper, and Haseeb Aziz – who own private equity firm Calveton, that has controlled Byron since 2020.
12 sites will transfer to the new company as part of the transaction, safeguarding approximately 365 jobs.
Liverpool, York and five London sites are among the dozen to survive.
However the restaurants in Leeds and Manchester are included in those that will shut.
Claire Winder, managing director at Interpath Advisory and joint administrator, said: “Like many other companies across the hospitality sector, Byron had seen a boost in trading following the end of the Covid lockdown measures.
“However, the sky-high inflation seen in 2022 saw costs spiral and resulted in reduced customer spend, which in turn placed significant cashflow pressure on the business.
“We are pleased to have concluded this transaction which will see the Bryon name continue to trade on high streets across the country and which, importantly, has preserved a significant number of jobs.”
It is the third restructuring in less than five years for the casual dining chain, which was generating annual sales of £90m from more than 70 restaurants at its peak.
Byron was launched in 2007 and grew to employ 1,800 people as a chain of restaurants that had individual identities.
Its first restructuring in 2018 was a CVA that brought in new owners, Three Hills Capital, and resulted in the closure of 16 sites.
However the pandemic ended recovery hopes and a pre-pack deal in July 2020 resulted in 650 jobs being lost and 31 restaurants shutting. Private equity firm Calveton took over the chain’s 21 sites.
