The owner of restaurants including Caffe Uno and Garfunkel’s today confirmed it was in talks to buy a majority stake in bar operator Living Ventures.
The Restaurant Group (TRG), which has more than 270 sites, said it was ready to sell its loss-making Est Est Est chain to Living Ventures as part of any deal.
In a statement, the group said it would look later at acquiring all the shares in Living Ventures, which was founded by Aussie soap star Tim Bacon who once appeared in Sons & Daughters.
Media reports said a deal would value Living Ventures at around £30m including £9m of debt.
Living Ventures has built up a portfolio of 11 Living Rooms, two Prohibition bars and two restaurants called The Bar & Grill since it was founded in 1999.
It operates from locations including York, Chester, Liverpool, Leeds and London. Under the terms of the deal, it is believed that TRG will buy the 30% stake currently held by Bowmark Capital and part of the shareholding of Mr Bacon and co-founder Jeremy Roberts.
Both men are expected to continue to run the company, which will not be integrated into The Restaurant Group.
TRG said: “The board confirms it is in discussions to acquire initially a controlling shareholding, and the remainder in due course, in Living Ventures and also to sell its Est Est Est restaurants to Living Ventures at the same time.”
Last month, the company said like-for-like sales rose 5% in 2004 on the back of strong trading at its concessions and leisure Parks businesses, which include outlets of Frankie & Benny’s.
References: EGi News 11/02/05
