In attempts to restructure, Carluccio’s has announced plans to close up to 30 restaurants and risk 500 jobs.
On Thursday, 91 percent of the restaurant chain’s creditors voted for a company voluntary agreement (CVA), allowing the group to continue trading while dealing with debts.
“We are pleased that our proposal for a CVA has been approved by our creditors. This vote was vital to protect our strong core business and the Carluccio’s brand,” said Mark Jones, the chief executive.
Will Wright, a restructuring partner at KPMG and joint supervisor of the proposed CVA, said: “This is an important step forward for the business, allowing Carluccio’s to complete its financial restructuring plan and embark on a comprehensive transformation programme.”
Carluccio’s is the most recent high street retailer to be hit by the casual dining crunch. Byron, and Italian-style chains Jamie’s Italian, Prezzo and Strada have all had to close restaurants this year.
“With the support of our new owners, Three Hills Capital, I’m confident that a new Byron can begin to take shape. Byron’s brand and offer remains strong and distinctive, and with a smaller and more efficient restaurant estate we can continue to provide an outstanding burger experience for our customers and to develop and grow a sustainable and innovative business for the long term,” said Simon Cope, the chief executive of Byron.
As well as dining chains, retailers including New Look, Carpetright (LON: CPR) and Mothercare (LON: MTC) have turned to CVAs in 2018.