Restaurant operator calls in advisors for company review

Boparan Restaurant Group has appointed KPMG to look at options for “one or two” of its brands which are “performing less well”.

The Birmingham-based group, which operates a number of casual dining brands including Harry Ramsden’s, is part of the same business that includes 2 Sisters Food Group.

It has been reported that Giraffe Restaurants and Ed’s Easy Diner are the two brands that are being reviewed. They were acquired by Boparan in June and October 2016 respectively.

The two brands are operated by a Boparan group company, Giraffe Concepts. Its most recent accounts, published in October for 2017, showed a pre-tax loss of £9.9m on sales of £67.1m.

In a statement, Boparan Restaurant Group (BRG) said: “BRG operates a portfolio of restaurant brands most of which are trading well despite some of the most difficult trading conditions seen in the UK for some time.

“Whilst we have some star brands, we have one or two that are performing less well. We are therefore looking at a number of options and have hired KPMG to advise.”

The casual dining sector has been under pressure for the last couple of years through a combination of weaker consumer confidence, rising costs, and the impact of fast expansion of the sector.

Burger brands Byron, Gourmet Burger Kitchen and Handmade Burger Company have all shuts sites or restructured, while Giraffe’s competitor chains including Jamie’s Italian, Prezzo and Strada have also downsized.

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