Lord Sugar has allegedly joined forces with billionaire Issa brothers to rally against Caffe Nero’s CVA rescue deal.
According to Sky News, the television star is among seven other parties which are said to have issued a landlord led legal challenge against Caffe Nero with the hopes that it will stop the struggling coffee chains CVA going ahead.
Sugar who owns property group Amsprop Investments is rumored to have entered the revolt on Christmas eve.
In December the highstreet chain confirmed that it would go ahead with its planned CVA after it rejected a last minute takeover bid from the entrepreneurial duo behind EG group.
Under the terms of the proposals landlords who housed Caffe Nero chains will have to forfeit most of their unresolved rent payments, a decision which is said to have angered property owners.
A source told Sky News that the majority of landlords who are disputing the restructuring “were largely ‘mom and pop’ property owners who would not have the resources to fund a significant legal fight”.
As Caffe Nero’s CVA was approved by creditors last month, it will go ahead unless the legal challenge is successful.
Catering today has contacted Caffe Nero for comment