Debts drag down Red House
THE Chester restaurant Red House has been bought out of administration along with a sister operation at Cheshire Oaks.
Administrators at Baker Tilly were called in by parent company the Pub Business Limited (PBL) and its bank NatWest after the firm struggled to meet payments on debts of £790,000.
PBL director Ray Stalker has acquired the Chester restaurant, which sits on the banks of the River Dee, while Aura Bars & Restaurants has picked up the Cheshire Oaks branch.
The two deals have preserved 40 jobs at the pubs which will keep the Red House name.
Aura already owns Friar’s Court in Warrington and several other sites in lancaster and Manchester.
PBL attempted to roll out the Red House brand opening sites in Gateshead, Hull and Heswall on the Wirral. These branches all proved unsuccessful and were closed over the past 18 months. Another was planned at MediaCity UK but didn’t open.
Adminsitrator Ben Woolrych said: “Both units were trading profitably but not sufficiently well to pay down banking debt. It was very much a case of being overly geared.”
He added: “Following an accelerated sales process over the past five weeks, we have completed two separate transactions thereby preserving the businesses and employment at both locations as well as ensuring no special events such as weddings are affected.”
