Giraffe and Ed’s Easy Diner CVA approved

Creditors have approved the company voluntary arrangement (CVA) of Giraffe Concepts Limited – the Boparan Restaurant Group subsidiary that operates the Giraffe and Ed’s Easy Diner brands – “by a significant majority”.

Commenting on the vote to approve the terms of the agreement, Will Wright, restructuring partner at KPMG and joint supervisor of the CVA, said: “This is a critical step forward for the business, allowing Giraffe Concepts to complete its financial restructuring plan and embark on a comprehensive operational transformation programme.”

Paul Berkovi, director at KPMG, added: “Today’s vote saw a significant majority of all voting creditors choosing to approve the CVA, surpassing the 75% total required in order to pass the resolution.”

MCA reported earlier this month the combined list of 27 Ed’s Easy Diner and Giraffe sites to close under the agreement. Ed’s will be left with an estate of 16 sites, while Giraffe would be left with 24 UK locations.

The CVA proposal will also see reduced rents sought in a further 13 sites.

It has previously been reported that is approved was given it would trigger fresh investment from BRG, which is thought to be willing to plough a further £10m into the estate.

It is understood that the investment will principally be focussed on refreshing the offer in the remaining estate, but also on converting a number of sites to the Slim Chickens brand, for which BRG holds the UK licence.