Livingbridge, the private equity group, has acquired a significant minority stake in Le Bistrot Pierre, in a deal that is thought to value the 14-strong French restaurant chain at c£22m, M&C has learnt.
It is understood that Livingbridge, which also backs Vietnamese concept Pho, has invested just under £10m in Le Bistrot Pierre, which was founded by school friends Robert Beacham and John Whitehead in Nottingham in 1994, in return for a c40% stake.
The company, which is on track to report EBITDA of c£2.8m in its current financial year to the end of next March, with turnover forecast to be £18.7m, will use the new investment to accelerate its roll out plans and optimise its existing estate.
The group, which appointed Altium Capital to advise on its future options in October, will look to add five sites a year – four under its core bistro model, plus one under its more bistro, pub with rooms format.
It is understood that the company, which currently generates average weekly turnover of c£30k, believes it has the potential with the right backing to grow to up to 100 sites.
M&C understands the new investment means that ex-Mitchells & Butlers chief executive and current Giraffe chairman Adam Fowle, who has been a non-executive director and consultant to the group over the last few years, has stepped down.
It is thought that the group’s current chairman Ron Moss will remain with the business in an interim capacity before a more long-term candidate is appointed.
The group’s estate currently includes a variety of locations, from large city centres such as Cardiff to a coastal bistrot in Torquay to a shopping centre unit in Newport and market towns like Leamington Spa.
The company has openings already secured for the first half of 2016 in Birmingham’s Gas Street and at the Oyster Wharf development in Mumbles, Swansea.
In 2012, Livingbridge invested £5.2m when taking a minority stake in Pho, the Vietnamese fast-casual concept founded and led by Stephen and Juliette Wall, which valued the then seven-strong group at c£12m.
Earlier this year, it was thought to have been in the running to acquire Coco Di Mama. The Italian fast-casual concept was subsequently acquired by the Azzurri Group.
Altium advised Le Bistrot Pierre, whilst AlixPartners is thought to have advised Livingbridge.
