Carluccio’s approves CVA putting 500 jobs at risk
Register to get 1 more free article
Reveal the article below by registering for our email newsletter.
Want unlimited access? View Plans
Already have an account? Sign in
The creditors of Italian dining chain Carluccio’s have voted in favour of a company voluntary agreement (CVA) which could see more than 30 of its outlets closed and put 500 jobs at risk.
On Thursday 31 May, 91% of its creditors approved the decision. The 34 restaurants at risk would reduce rent bills by a third for the next six months. After that period is over, the outlets may face closure unless a new deal is agreed.
The chain’s owner, Landmark Group, has agreed to invest £10m into the other 69 restaurants which will be unaffected by the CVA for refurbishment.
Will Wright, restructuring partner at KPMG and joint supervisor of the 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 operational transformation programme.
“Today’s vote saw 91% of all voting creditors choosing to approve the CVA, surpassing the 75% total required in order to pass the resolution.”
Mark Jones, chief executive of Carluccio’s, added: “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.”
