Suitors bidding for the 56-strong Strada brand, which was put up for sale by Tragus last week, are set to bid on the rump of the group’s estate, with up to 15 individual site sales expected to go through over the next few weeks, M&C Report understands.
It is thought that the brand produced EBITDA of c£8.2m in its last financial year, but like-for-likes were down 6%.
M&C Report understands that the brand’s top 15 sites are producing average EBITDA of £400k and above, with top performers such as Royal Festival Hall and More London generating full-year net sales of c£3.8m and £3.3m respectively.
On top of that there are thought to be around 20 sites that are described as good performers.
It is thought that the sites, including those in Salisbury, Oxford, Earls Court and Exmouth Market, are under offer to a number of rival operators and new concepts, while PizzaExpress has already exchanged on the Strada in Spitalfields.
Jonathan Kaye, chief executive of Prezzo, has already stated his interest in a number of the brand’s sites.
Operators such as Las Iguanas, United Ramen, Valentina and Giggling Squid have all picked up sites from the former 67-strong brand over the last months.
Zolfo Cooper has been appointed to oversee the sale of Strada, which is valued at c£40m. A sale of the brand is expected to be completed by the end of the summer.
The rump of the brand is sure to generate interest from former founders Andy Bassadone and Chris Beniens, who again backed by Richard Caring, have a number of concepts that they are currently looking to grow, including Bill’s and Jackson & Rye.
Former owner Luke Johnson will also be linked with the brand he started from stratch and built to 30 sites before selling in 2005.
One name already linked with the process is Nick Basing, the former Paramount Restaurant chief executive and current head of Essenden, who some sources have suggested could be looking at a private equity-backed bid for the brand.
It is thought that new owners Apollo may also back a management buy-out of Strada, which is led by new managing director James Spragg.
