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Morning Briefing for pub, restaurant and food wervice operators

Tue 23rd Apr 2013 - Breaking News - Fat Cat slips into administration
Fat Cat Café Bars and Fat Cat Restaurants slips into administration: Derbyshire-based Fat Cat Café Bars and Fat Cat Restaurants, the companies led by Matt Saunders that operated a chain of 11 bars and gastropubs, have been placed in administration today. Five sites have now been shut and six sites are on the market for circa £2m through Colliers International. Joint administrator Tyrone Courtman, head of restructuring at Cooper Parry in Leicester, said: “The company has been adversely affected by poor trading at a few of their outlets. We believe that those bars continuing are successful performers and we already have significant interest in them continuing as a going concern.” The six sites on the market through Colliers International have a combined price tag of £2m. The venues are located in Nottingham, Leicester, Derby, Bow (East London), Bangor and Frodsham in Cheshire and include one freehold and four free-of-tie leasehold properties. Ross Kirton, director of Colliers said: “The Fat Cat brand has been established since the early 1990s and the sale offers the opportunity for either a roll out of the brand or possibly conversion to other mid-market food and drink concepts.” In its most recent reported year to 29 February 2012, Fat Cat reported a 6.6% increase in turnover to £8,195,247 with pre-tax losses narrowing to £116,688 from £141,714 the year before. The company stated: “This year saw a welcome return to like-for-like growth for Fat Cat Café Bars, as it appeared that after two years of frantic belt tightening and subsequent declining sales for the company, the consumer started to venture out again onto the high street.” Site level profit before tax for the year, excluding one loss-making site, was £607,781. On 2 January 2012, the company saw a devastating fire at its Fat Cat site in Northampton, which was totally destroyed. The company stated at the time: “Fat Cat Northampton was a very busy and profitable outlet for the company and so this will be a big loss to the company going forward. However, we expect the site to reopen in the second half of 2013.”

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