The Restaurant Group (TRG) has put a further six of its former restaurants up for sale in Scotland, England and Wales.
The sites, which are being marketed through Savills, include four Frankie & Benny’s and two Coast to Coast units and are available on an individual basis.
It comes after the company put 23 sites on the market in January, all of which had ceased trading.
Savills is also acting for TRG to acquire new sites across the Midlands, East Anglia, the South of England and Wales.
The six properties up for sale are the Frankie & Benny’s, Borehamwood; Franke & Benny’s, Edinburgh; Frankie & Benny’s, Gateshead (Clasper Way); Coast to Coast, Hemel Hampstead; Franke & Benny’s, Newport (Friars Walk); and the Coast to Coast, Nottingham (Intu Victoria Centre).
Last week, TRG said all three of its major brands – Frankie and Benny’s; Chiquito and Coast to Coast – underperformed in 2016 but stressed a ‘robust plan’ was in place to turn them around.
The group updated on its full-year results to 1 January, which showed total revenue up by 3.7%, mainly due to the impact of the 53rd week but like-for-like sales down 3.9%. Total adjusted EBITDA for the year was £121m, a decrease of 5.5% on the prior year and adjusted operating profit decreased by 11% to £79.2m.
The group said its strategy would revolve around re-establishing competitiveness for its leisure brands, growing the pubs and concessions business and building a “leaner, faster and more focussed organisation”. After a review of its cost bases the company has identified opportunities to reduce costs by approximately £10m on an annual run-rate basis.
The group said current trading was in line with expectations and stressed that 2017 would be a “transitional year for the business, given the significant change underway and the substantial investment in price and marketing”. The company said it anticipated momentum improving towards the end of the year as its initiatives start to take effect.
It expects to open between 16 to 20 units in 2017 with associated capital expenditure of between £16m-£20m. Refurbishment and maintenance capital expenditure will range from £20m-£25m.
