WatchHouse raises more than £6.1m in record time, plans international franchise programme: Specialty coffee concept WatchHouse has raised more than £6.1m in one day from its latest crowdfunding campaign, in what is thought to be the fastest for non-tech equity raise. At the time of going to press, the 19-strong business had raised £6,157,824 from 814 investors. The Roland Horne-founded business, which opened its first international site, in New York, last month, launched its final EIS raise  earlier today (Wednesday, 1 May) through Crowdcube with a pre-money valuation of just under £39m. Horne told Propel: “The team and I have been blown away today by the demand for this final EIS round, coupled with the continued support we receive from our guests, many of whom have been with us from day one on Bermondsey Street. Raising capital so fast, breaking the record for the highest F&B raise in Crowdcube’s history, while also being one of the fastest ever raises sitting alongside platform legends such as Revolut and Monzo, is utterly humbling. We will close the round much earlier than expected and we can’t wait to get to work.” The company, which opened a new site in Hampstead this week, is planning to open a second site in New York, in The Chrysler Building, this October. With the new funding, it also plans to build a state-of-the-art roastery and bakery space in Brooklyn, to serve its houses in New York City, and a new bakery adjoined to its roastery in London Bridge. The company has further openings lined up in London, in Fitzrovia in July, and a further site in Canary Wharf in August. The business said it was also exploring global franchise opportunities and Propel understands that it is in talks with partners to launch in South Korea and the Middle East. The business said: “Having successfully opened 19 Houses, WatchHouse has established a strong product, market fit and a proven track record allowing for national and international growth. We have four new leases signed and two more in legals. Our plan is to continue this growth by opening further Houses in the UK and US as well as launching via franchise further afield.” Last December, WatchHouse completed a $10m (£7.9m) Series A fundraising round to continue the company’s rapid growth in the UK and US over the next 36 months.

 

Variety of experiential leisure operators to feature in next New Openings Database being released to Premium Club members tomorrow: The next Propel New Openings Database will be sent to Premium Club members tomorrow (Friday, 3 May). The database will show the details of 130 site openings, including which company has opened a site or its plans to open one in the future. It will have details on what type of site it is and its location, and there will also be a website link to the businesses. The database is published on a monthly basis and Premium Club members will also receive a 6,700-word report on the 130 new additions to the database. The database includes new openings in the experiential leisure sector such as Electric Shuffle opening its largest UK venue yet in Manchester, Golf Fang making its debut in London later this year with an opening in Waterloo, and inflatable theme park operator Jumpin Fun opening in Bristol this summer. Premium Club members also receive access to five other databases: the Multi-Site Database, in association with Virgate; the Turnover & Profits Blue Book; the UK Food and Beverage Franchisor Database; the UK Food and Beverage Franchisee Database; and the Who’s Who of UK Hospitality. Plus, all members will be offered a 20% discount on tickets to five Propel paid-for events – The Excellence in Pub Retailing Conference (14 May), Social Media for Profit (18 July), the Talent and Training Conference (1 October) and Restaurant Marketer and Innovator (two days in January 2025). Operators will also be able to send up to four members of staff to each of our four Multi-Club Conferences for free. Premium Club members receive their daily Propel Info newsletter 11 hours earlier than standard subscribers, at 7pm the evening before. They also receive videos of presentations at eight Propel conference events two weeks after they are held. This represents around 100 videos of industry insight over the course of the year. Premium Club members will be sent a dedicated monthly newsletter that will highlight key updates in the sector and direct subscribers to all the vital content their membership offers. Premium Club members also receive exclusive opinion columns every Friday at 5pm, which include the thoughts of Propel group editor Mark Wingett and a host of industry leaders from across the sector. A Premium Club subscription costs an annual sum of £495 plus VAT for operators and £595 plus VAT for suppliers. Companies can now have an unlimited number of people receive access to Premium Club for a year for £995 plus VAT – whether they are an operator or a supplier. Email kai.kirkman@propelinfo.com today to sign up.

 

Meaningful Vision – customer traffic in March would have been down without Easter boost: Without the positive effects of the Easter holiday, customer traffic witnessed by restaurants and pubs would have actually declined by 2% for the month, compared to the 6% growth observed, according to market intelligence platform, Meaningful Vision. The platform said that in the first quarter of 2024, total traffic declined by 3% compared to the previous year, with March witnessing a drop of 2.6%. Traffic performance for restaurants and pubs significantly improved in March, achieving 6% growth. Despite these encouraging numbers, the quick service restaurant sector continues to suffer from a general decline in total traffic, with March showing a further 4.2% reduction in footfall. Only bakeries and sandwich shops showed resilience with modest growth, although primarily due to strong performances reported by several of the leading chains. Maria Vanifatova, chief executive of Meaningful Vision, said: “The increase in traffic during Easter 2024, relative to the previous non-Easter week, remained at the same level as last year, around 10-12%. However, Easter 2024 had a significant impact on the numbers returned in March. Without the positive effects of the Easter holiday, traffic witnessed by restaurants and pubs would have actually declined by 2% for the month, compared to the 6% growth observed. A positive trend was seen in the further softening of foodservice inflation, which in March fell below 10% for the first time since several months. We can now observe a slowdown in price inflation for both restaurant dining and delivery. Year-on-year price growth in fast-food restaurants was recorded at 7% in March, while for delivery aggregators the number was 9%. The relative rate of price growth witnessed by delivery versus dine-in reveals another visible trend as the rate of price increases for delivery has slowed more rapidly than for dine-in prices. In the third quarter of 2023, food inflation in delivery was 5% higher than in restaurants (15% and 10% correspondingly), however, by March 2024, this gap had decreased to 3%. While prices have risen on average by 10% in the first quarter of 2024 compared to the same time last year, limited time offers and meal deals are 5% cheaper this year and are playing a key role in driving consumer demand. We believe this trend will continue in the coming year as unsettled economic conditions in the wider economy persist.”

Network Rail retail portfolio surpasses £800m in annual brand sales: Network Rail has announced retail sales reached over £800m in the past 12 months across its retail portfolio of 19 managed stations in the UK. Over 600,000 square feet of prime retail space is managed by Network Rail within major city centre locations, with footfall climbing above 700 million visits per year. In the past 12 months, 53 new units have opened, attracting 15 new brands to the portfolio alongside 18 pop-ups to test the retail travel market. London Liverpool Street, which turned 150 this year, is its busiest station by passenger numbers and also its highest grossing station – accounting for over £92m in total annual sales over the last year. A total of 30 retailers make up 73,000 square feet of retail space at London Liverpool Street, with brands including Leon and Coco di Mama. The company said that at London Waterloo, the opening of The Victory pub by Urban Pubs & Bars, helped boost sales per square foot to £2,507 (annual average). It said that The Victory demonstrates how hospitality brands are increasingly investing in major transport hubs to capitalise on rebounding footfall. Hamish Kiernan, commercial director, Property at Network Rail, said: “Our figures for the last year are highly encouraging and reflect how providing customers with an attractive mix of retail and F&B is a priority for Network Rail. We’ve welcomed new major brands, exciting new pop-up stores and refurbishments which signifies brands’ appetite for continued investment across our portfolio. As we pivot towards a more curated offering, Network Rail stations are developing into retail and leisure destinations in their own right.”

 

Authentic Alehouse secured creditor – market conditions ‘have significantly reduced the credible pool of buyers for freehold pubs’: Market conditions “have significantly reduced the credible pool of buyers for freehold pubs”, according to Crowdstacker, the secured creditor of Authentic Alehouses. The once seven-strong Authentic Alehouses, which was launched by Allan Harper in 2017, entered administration in March 2019. An update emailed to investors by Crowdstacker, which has been seen by Propel, revealed The Fountain Inn in Barnoldswick has now been sold, leaving two pubs remaining in the security – The Albert in Hull and the Ponty Tavern in Pontefract. The update from Crowdstacker said: “The hospitality industry continues to face challenges and has been heavily impacted by rising costs and a reduction in demand. With significant increases in borrowing costs, it has been harder for interested parties to find cost-effective senior debt to put forward a credible offer. The last valuation report for the pubs was in 2020, and therefore we will be seeking a new valuation report in order to update the sales particulars and ensure that future offers and sales are realistic and in line with today’s market trends. As mentioned previously, The Albert was being re-marketed as the cash offer that was initially accepted fell through. While there has been some interest, there have been no further offers made to date. The Ponty Tavern was marketed at a lower price. The pub is trading well, and the asking price is still above its original valuation. There has been a lot of interest in the pub, plus several viewings, but no offers have been received just yet. We expect to see some offers over the next few months.”

 

Job of the day: COREcruitment is working with a well-established group that operates upmarket venues across the UK and is seeking a head of operations. A COREcruitment spokesperson said: “The company is on a strong growth plan, with new sites coming on board in 2024-25. This role will experience rapid growth, with the main focus being restaurants in the luxury space. Initially, the role will involve overseeing the one main business in London, but it will also entail taking on numerous growth project assignments. The current business generates around £12m in revenue, with five heads of department reporting to you. Ideally, the business is looking for someone with experience managing venues in the high-end dining space.” The salary is up to £120,000 and the position is based in London. For more information, email stuart@corecruitment.com. 

 

City Pub Group reports record revenue in year it was acquired by Young’s: The City Pub Group has reported record revenue in year it was acquired by Young’s. A deal was agreed in November for Young’s to acquire the owner and operator of circa 50 pubs across southern England and Wales, which valued the business at around £162m. In its accounts for the 53-week period to 31 December 2023, the group reported revenue of £74,484,000 compared to £57,793,000 in the 52 weeks to 25 December 2022. Adjusted Ebitda grew from £10,082,000 to £13,413,000 but a pre-tax profit of £216,000 turned into a loss of £4,429,000. No dividends were paid (2022: nil). The group said the loss was driven by an increase in exceptional items and the share option charge for the period. The exceptional items of £7m (2022: £2.4m) relate largely to an impairment charge of £4.4 (2022: £0.6m) to a mix of freehold and leasehold sites, as well as costs to dispose of sites of £1.3m (2022: £1.0m). The share option charge also increased to £3m (2022: £1m) due to an acceleration of the charge through to the date of acquisition by Young’s. Bank debt at period end was £15.5m (2022: £8m), with net debt of £9.7m (2022: £3.5m). After the period end date, the group settled its existing loan of £14m with Barclays. “On 4 March 2024, the City Pub Group announced the completion of the acquisition of the group by Youngs & Co Brewery,” the group said. “Under the terms of the transaction, the consideration consisted of 108.75 pence in cash and 0.032658 new Young’s A shares for each City Pub Group share. The sale of the group is beneficial to both the operations of the group and its shareholders. As part of the acquisition, the group has delisted. As part of the acquisition, any remaining active share-based payment schemes were accelerated through to the acquisition date. The settlement of all charges was made in March following the acquisition date.” Mike Owen, the group’s chief financial officer, added: “Sales performance of our pubs in 2023 was encouraging. Despite poor weather over summer, the group had a strong finish to the financial year, delivering fantastic sales over the festive period. Group like-for-like revenue increased by some 20% compared to the prior period to £69.6 (2022: £57.8 m). The acquisition of the Mosaic Group in the year resulted in additional revenue of £4.9m, bringing total group revenue to £74.5m. In June, the group secured control of the Mosaic Pub and Dining Group, through owning 53% of the equity. 2023 was a challenging year with inflationary headwinds, especially on energy and food, and the shortage of labour throughout the year creating challenges relating to opening times and operational effectiveness when the pubs were busy.” City Pub Group founder Clive Watson will be among the speakers at the Excellence in Pub & Bar Retailing Conference. He joins a panel discussing the challenge the sector faces in ensuring it maximises the performance of its pub assets in an era of declining alcohol sales. The panel will also feature Shepherd Neame managing director Jonathon Swaine, Greene King managing director Clair Preston-Beer, JD Wetherspoon employee director Debbie Whittingham and sector investor Luke Johnson. The all-day conference takes place on Tuesday, 14 May at One Moorgate Place in London and is open for bookings. For the full speaker schedule, click here. Tickets are £295 plus VAT for operators and £395 plus VAT for suppliers. There is a 20% discount for operators and suppliers who are Premium Club members. Email: kai.kirkman@propelinfo.com to book places.

 

Rarebreed Dining gears up to consider its options: Rarebreed Dining, the steak-focused pub company, has appointed advisors to assist with a strategic review of the business and its property assets as it gears up to consider its options. The company, which was founded in December 2014 by Jordan Hallows, who wanted to create a high-quality steak restaurant experience outside of London located in “a relaxed environment in beautiful buildings”, is working with Savills on its options. Rarebreed currently operates from The Plough Inn, Cobham (leasehold); The Shurlock Inn, Twyford (freehold); and The Waverley Inn, Weybridge (freehold). A further site – The Corn Stores in Reading (freehold) – is currently vacant and available for sale through Savills for an undisclosed sum. Ed Sandall, director in the licensed leisure team at Savills, said: “The Rarebreed Dining sites are all located in ideal areas that perfectly suit the local demographic, many of whom are commuters who are now mixing their time between the office and working from home. We are very much looking forward to working with Rarebreed on this instruction, which represents an exciting opportunity for an investor to participate in a profitable platform, with a proven concept and an experienced team to roll out into other similar catchments.” Rarebreed closed its The Corn Stores site in Reading’s Forbury Road earlier this year. In a message to guests regarding the closure seen by Propel, Rarebreed said: “With a heavy heart, we have decided to close The Corn Stores. It has been an honour and privilege to restore The Corn Stores to its former glory and act as custodians for the last few years, but sadly, we have made the difficult decision to shut its doors. The move comes as we grow the business and continue to define Rarebreed as a collection of restaurants. Our other locations will remain open and will be part of our journey as we expand in other areas and acquire more sites.”

 

KFC UK system sales down 1% in first quarter, Yum! Brands completes acquisition of 218 KFC franchise restaurants from EG Group: Yum! Brands has reported KFC system sales in the UK fell 1% for the first quarter ended 31 March 2024 compared with the previous year. The UK accounts for 6% of KFC’s system sales worldwide. On 29 April 2024, Yum! Brands completed the previously announced acquisition of 218 KFC restaurants from EG Group, its largest franchisee in the UK and Ireland, for an undisclosed sum. Globally, KFC like-for-like sales in the quarter were down 2%, with US like-for-like sales falling 7%. System sales worldwide rose 1% to $8,128m. Operating margin was up 5.1 percentage points to 49.5% and operating profit was up 3% to $313m. KFC opened 509 gross new restaurants in 43 countries during the period. Meanwhile, Pizza Hut system sales in Europe, including the UK, were down 5% – the continent accounts for 12% of Pizza Hut’s system sales globally. Pizza Hut system sales fell 5% globally to $3,167m, with like-for-like sales increasing 7%. US system sales, which account for 41% of global sales, were down 6%. Operating margin was down 2.2 percentage points to 39%, while operating profit fell 11% to $93m. Pizza Hut opened 240 gross new restaurants in 23 countries during the period. Taco Bell like-for-like sales fell 7% and system sales dropped 5% to $3,167m. Operating margin was down 0.8% percentage points to 34.8% while operating profit was up 2% to $208m. Taco Bell opened 56 gross new restaurants during the period in 14 countries. 

 

Caprice Holdings hires Yavuz Pehlivanlar as new COO: Caprice Holdings, the Richard Caring-backed, high-end restaurant business, has hired Yavuz Pehlivanlar, formerly of 50 Eggs Hospitality and D Ream International, as its new chief operating officer. Pehlivanlar spent five years at the US-based 50 Eggs as its chief financial officer. Prior to that, he spent more than two years as an executive vice-president at D Ream (Doğuş Restaurant Entertainment and Management). Miami-based, it is thought that his appointment comes ahead of Caprice Holdings looking to build its presence in the US on the back of opening Sexy Fish in Miami, which opened at the start of 2022. Last month, Propel reported that Caprice Holdings had confirmed it is to open a site under its Sexy Fish brand in Dubai later this year. Caprice Holdings – which also operates Sexy Fish sites in London and Manchester – is to open a site in Dubai’s International Financial Centre, in its new Innovation Hub tower. It will mark Caprice Holdings’ return to Dubai for the first time since 2016, when it closed a site under The Ivy concept there. The company is also set to open a Sexy Fish site at the Via Riyadh scheme in Saudi Arabia. Last summer, Caprice Holdings opened a site under its Scott’s brand at the luxury shopping and entertainment complex.

Starbucks plunges as consumers cut back on costly coffee: More than $15.4bn (£12.3bn) was wiped off the value of Starbucks as trading began on Wall Street after it revealed sales fell for the first time since the beginning of the pandemic. The Telegraph reports that the coffee brand’s shares plunged by 15% after the opening bell on the New York stock exchange as its new lavender lattes and half-price deals were not enough to entice consumers. It said net revenues fell by 2% to $8.6bn (£6.9bn) in the first three months of 2023, as it cut its full-year revenue growth forecast to the low single digits. Chief executive Laxman Narasimhan said: “In a highly challenged environment, this quarter’s results do not reflect the power of our brand, our capabilities or the opportunities ahead. It did not meet our expectations, but we understand the specific challenges and opportunities immediately in front of us. We have a clear plan to execute and the entire organization is mobilised around it. We are very confident in our long-term and know that our Triple Shot Reinvention with Two Pumps strategy will deliver on the limitless potential of this brand.”

 

Big Mamma moves closer to making its regional UK debut: Big Mamma Group, the McWin backed restaurant group, has moved closer to making its regional debut after applying for a licence on a site in Manchester. The business, which currently operates circa 25 restaurants across Europe, including five in London, plans to open a new Italian restaurant and bar in Gary Neville’s Relentless Developments’ St Michael’s Development, in Jackson Row, Manchester. The company plans to trade across the ground and first floor of the scheme. Japanese-Peruvian restaurant Chotto Matte has already agreed a deal to occupy the 20,000 square-foot rooftop at the development, with an opening planned for next year. Last September, McWin, the investment firm of food industry entrepreneurs Henry McGovern and Steven Winegar, which backs companies such as Vapiano and Gail’s, acquired a majority stake in the Big Mamma Group. The long-term investment made out of the McWin Restaurant Fund saw Big Mamma Group valued at €270m. The investment will help the business expand further in its existing territories and into new ones, including the Middle East and the US.

 

Wingstop lines up opening in London’s Ealing: Lemon Pepper Holdings, the company behind the rollout of Wingstop in the UK, is set to add a site in Ealing, west London, to its 2024 opening pipeline. Propel understands that Wingstop UK has received consent to open at the former TSB site at 31 New Broadway. Last month, the business strengthened its footprint in London by opening its new site in Clapham. The 44-strong business launched in the former Bodeans site at 169 Clapham High Street. Wingstop UK is on track to open 15 sites this year, including further restaurants in London – in Croydon, and its largest site yet, at Westfield Stratford City. The brand, which launched here in 2018, recently secured a former Burger King site in the Midsummer Place scheme in Milton Keynes. Wingstop UK will open its latest site next week in the Merry Hill shopping centre in the West Midlands. Last month, Lemon Pepper Holdings co-founder Herman Sahota told City AM that it sees potential to grow Wingstop to more than 300 sites here in time.

 

Zambrero plans second Manchester site: Zambrero, Australia's largest Mexican quick-service franchise, which received £143m in equity financing to open more restaurants in Britain and Ireland last year, is planning to open a second site in Manchester. The company, which operates circa 250 sites worldwide, has applied to open at the former Royal British Legion shop in Cross Street. Last year, Zambrero opened at a site formerly occupied by food-to-go retailer Greggs in Piccadilly Gardens, Manchester. Zambrero, which is led in the UK by chief executive Emily Teh, opened its debut UK site in Kentish Town in 2021. The brand currently operates ten sites in the UK, including a further five in the capital, plus sites in Reading and Chelmsford. Zambrero has also been linked with an opening in Birmingham’s Bullring scheme.

 

Coca-Cola Company sees 3% decline in coffee performance in first quarter: Coca-Cola Company has reported a 3% decline in unit case volume performance across its coffee division in the first quarter of 2024, which it said was primarily due to the performance of Costa Coffee in the UK. The company reported its revenue grew 3% year on year to $11.3bn, ahead of estimates of $11bn, during the period. Coca-Cola said that price/mix was up 13% as unit case sales only grew 1%, reflecting that growth was driven by higher prices. The company reported that unit case sales were flat in developed markets but grew in the low single digits in emerging markets, driven by Brazil, the Philippines and Nigeria. Coca-Cola said unit case volume performance across its tea division grew 2%, driven by growth in Europe, the Middle East and Africa and Latin America. James Quincey, chief executive of Coca-Cola Company, said: “We’re encouraged by our start to 2024, delivering another quarter of volume, top-line and earnings growth amidst a dynamic backdrop. We believe our global system is primed for sustained success, thanks to the right strategies, clear alignment, a powerful portfolio and strong execution.” 

 

Itsu hires Kate Thompson as new property director: Itsu, the circa 85-strong, healthy Asian food chain, has hired Kate Thompson, formerly of Costa Coffee and Sainsbury’s, as its new property director. Thompson joins Itsu after seven and a half years at Costa, including stints as its head of property and senior acquisition manager. She also spent two and half years at Sainsbury’s, including a year as estates manager. Itsu is planning to open 15-20 sites this year. In March, Greg Thorp, chief financial officer at Itsu, told Propel that there is a lot of the UK that the brand can still open in. He said: “We will build more shops in 2024 – both in London and the regions. Our pipeline is bigger sites – in the West End, in the heartland of the City, in larger cities around the UK that we are either not in or only have one shop and could do more. I think that reflects the confidence to build slightly bigger units and invest a little more. This year will be a really big one for shop openings, and we’ll see some international growth as well, which will be very exciting. We will look to do somewhere around 15 to 20 new sites, maybe a little more.” Last month, Scoffs Group – the largest Costa Coffee franchisee in the UK with 112 stores – opened its first site with Itsu, in Exeter, Devon.

 

SimpsInns refinances, maintains ‘strong turnover’ despite ‘challenging environment’: Scottish hospitality group SimpsInns has refinanced following a year in which it maintained “strong turnover” despite trading in a “challenging environment”. The group – which operates a portfolio of hotels, restaurants, bars, golf, spa and leisure facilities across four sites in Ayrshire – refinanced with Barclays in November. Its previous loan with Allied Irish Bank had matured in August 2023, according to the group’s accounts for the year to 31 July 2023. At year end, its bank loans stood at £4,280,133 (2022: £5,652,022). “The new borrowing terms with Barclays Bank includes a security floating charge over all assets of the company, supported by standard security over certain company properties,” the group said. “The loan is due to be repaid in five years, based on a 20-year repayment plan. The loan carries a floating rate of interest not less than 5.25%.” It comes after the business reported a slight reduction in turnover for the year, down from £9,839,433 in 2022 to £9,548,505. Its pre-tax profit also fell from £2,283,884 to £1,481,379. Government grants of £7,500 were received (2022: £59,629). Dividends of £318,000 were paid (2022: £48,000). “The business has done very well to maintain a strong turnover, matching the previous high of 2022, despite, as predicted, a very challenging environment,” director Malcolm Simpson said. “The high cost of operating the business, with a significant rise across the board in many areas, has had a challenging impact on net operating profit, albeit this is against the exceptional performance in the previous year. Our accommodation has fared well, with an increase in average room rate and only a slight downturn in occupancy levels again, maintaining good turnover and performance. Our spa and leisure operations continue to grow in strength and performance against a backdrop of positive feedback and another award-winning year. SimpsInns will continue to maintain its high-quality property and estate portfolio. Our strong management team will continue to grow profitability through increased sales, operational control and strong marketing objectives. Simpslnns policy of controlling costs is being well managed despite the current rising costs and all the KPIs are in line with current management expectations.”

 

Newcastle craft burger concept signs up first franchisee with debut franchise site to open this summer: Newcastle craft burger concept Burger Drop has signed up its first franchisee, with its debut franchise site set to launch this summer. Burger Drop was founded in 2020 by Hasan Hamid and Amer Qayyum, offering wings and shakes as well as burgers, and currently has two branches in its home city. Former students Osama Iqbal and Safi Nayyar are now preparing to launch its first franchise location, a 30-seater venue at the former Kismet restaurant, at 177 Whitley Road in Whitley Bay. “I am very proud of Osama and Safi, who have formed such an amazing franchise story,” Hamid said. “Instead of pursuing a graduate role, they have chosen to open a Burger Drop franchise. Investing their own hard-earned money into a business venture so early on in their careers is inspiring. To think, only 12 months ago they were both students, working part-time jobs in fast-paced kitchens. With degrees in business with economics, Osama and Safi will put their academic pursuits to good use while running their own Burger Drop franchise. While studying at university, Osama joined Burger Drop as a dispatcher, packing orders. Through hard work, passion and energy, he has now graduated to a director position! I look forward to supporting them in this amazing new venture, and I look forward to announcing more franchisees very soon.” Iqbal added: “From what started as a part-time job literally just packing orders, I have developed and developed. As time went by, I found myself involved in making key business decisions that have helped the concept grow at an extraordinary rate in comparison with industry standards. After graduating with a first-class economics-based degree from Northumbria University, I have decided to fully commit to Burger Drop alongside my fellow graduate Safi Nayyar, as we take part in the business’ national journey of expansion. Here’s to the first of many branches.” Hamid told Propel in January that he was targeting 150 sites over the next decade, starting with five this year before “ramping up” towards nationwide expansion next year. Hamid, who is also a director at Bubbl Tea Bar in the Newcastle suburb of Heaton, previously worked in social media marketing.

 

SSP completes acquisition of Australian F&B operator: SSP Group, the UK operator of food and beverage outlets in travel locations worldwide, has completed its acquisition of Australian food and beverage operator Airport Retail Enterprises (ARE). The deal, which was first announced in February, adds 62 outlets across seven airports to SSP’s portfolio: Sydney, Melbourne, Brisbane, Gold Coast, Canberra, Townsville and Mount Isa. As a result of the acquisition, SSP has expanded its position in the Australian market in travel food and beverage operations, with around 100 units across 11 of the largest 19 airports in Australia. SSP stated: “The acquisition of ARE is aligned to our strategy of accelerating growth in the Asia Pacific region and sees us add a number of high-quality bars, restaurants and brands to our portfolio.” Patrick Coveney, chief executive of SSP Group, said: “We’re pleased to have completed the acquisition of ARE, which enhances our presence in the high-growth Asia Pacific region. We have acquired a number of high-quality brands and concepts and gained entry into new prime air locations, which will give us significant opportunity to drive growth for the group. We look forward to welcoming our new colleagues into the wider SSP team and further enhancing our position as a leading food and beverage operator in a key market.” SSP has been present in Australia since 2009 and is also soon to open its first units in New Zealand, at Christchurch airport.

 

Wellness café concept Volonte secures third site: Volonte, the wellness café concept, has secured its third site in London, in Fitzrovia. The business, which was born out of a lockdown idea by founders Vidushi Binani and Haylene Ryan Causer, will open its latest site at 10 Mortimer Street this summer. The concept offers “light bites, brunch and lunch options” through its “nutrition-first menu” and is “passionate about promoting inclusive well-being”. The company opened its first site in Brompton Road, Chelsea, in spring 2022 and followed that up with an opening in Piccadilly last year. 

 

Uno Hotels adds two country properties to portfolio: Hotel operator Uno Hotels has added two historic country properties in the south east to its portfolio. The company, which operates four other sites, has bought The Hickstead Hotel in West Sussex and The Grovefield House Hotel in Buckinghamshire in a deal brokered by agents Colliers. The Hickstead Hotel, on the outskirts of Burgess Hill, is set within gardens and provides 52 en-suite bedrooms alongside a bistro that seats 60 people. The Grovefield House Hotel in Burnham dates to the Edwardian period and includes wedding facilities for up to 150 guests, as well as landscaped gardens and a bar and lounge. Substantial offers came in for the properties before Uno Hotels agreed on an undisclosed price. Vijay Singh Bhandari, founder of Uno Hotels, said: “Both of these hotels are fantastic historic country hotel businesses that benefit from a loyal base of both leisure and corporate visitors. I’m thrilled to be working with the local teams and have ambitions to update and refurbish the hotels to make them destination hotel venues to suit the calibre of guests we’re looking to welcome.” Uno Hotels will be running the establishments through two new companies: Cumberland Assets and Four Hillside Assets.

 

Team behind Txuleta and chef Richard Foster to open Basque restaurant Ibai in the City: Nemanja Borjanović and William Sheard, who are behind meat distribution business Txuleta, are teaming up with chef Richard Foster to open Ibai, a Basque steak restaurant, in the City of London this summer. The 80-cover restaurant in Bartholomew Close will be headed by Foster, previously executive head chef at Chiltern Firehouse, while Borjanović and Sheard will oversee the front of house. The business said: “Ibai will benefit from having direct access to farms via its in-house beef distribution business, Txuleta, the renowned meat supplier to some of the best UK restaurants and butchers. From sourcing, butchery, ageing, delivery, prep, grilling and serving, Ibai will have full control of the supply chain, giving farm to table a new meaning. Nemanja, who founded Txuleta, has set out on an exciting and pioneering project in parallel with the restaurant; the launch of the first UK reared Galician Blond herd on a smallholding at the Gorhambury Estate in St Albans (20 miles from Ibai). Nemanja’s aim is to successfully breed the Galician Blond breed on British soil with the view to supplying Ibai soon.” Borjanović said: “Bringing the Galician Blonde beef to the UK has been a personal project of mine and I’m thrilled to launch it as we open Ibai, which I’m extremely excited to open in the heart of the city and showcase our amazing produce.” 

 

Six by Nico owner confirms double Edinburgh opening: Six Company, the company behind the Six by Nico restaurant business, has confirmed it will open two new sites in Edinburgh this summer. As previously revealed by Propel, Six Company will open a site under its core Six by Nico brand in Queensferry Street in the former Foundry 39 building, which will be its second site under the brand in the Scottish capital. Six Company will also open a site under its fledgling bar concept, Somewhere by Nico, alongside the new restaurant in Queensferry Street. Six Company launched the bar concept in Glasgow earlier this year. The business is set to invest £2m on the two new sites, which will open in June. Six Company’s chief executive Nico Simeone said: “Our team is driven daily by the challenge to constantly create and reinvent. We are dedicated to being different, never resting on our laurels, and continuously striving to create the best customer experiences. Our second Six by Nico site in Edinburgh city centre underlines our commitments to the city and provides our guests with more dining options, as well as the introduction of Somewhere by Nico, our latest brand that reinvents the conventional cocktail experience.” The company, which currently operates 15 sites throughout the UK and Ireland under the Six by Nico brand, will open a further site under its core brand later this month, at the Westgate scheme in Oxford. Last month, Propel revealed that Six Company had appointed advisors to assess its funding options as it looks to step up its expansion plans in the UK and overseas. It has begun working with advisors at Cavendish on its strategic options. Until now, Six Company’s growth has been funded out of cash flow and debt provided by ThinCats. Propel understands that Six Company, which was founded by Simeone in 2017 and offers evolving six-course themed tasting menus, is trading well and sees an opportunity to secure new funding to ramp up its expansion plans.

 

Chef Tunde Abifarin to take on Edinburgh brunch spot: Award-winning chef and founder of pan-African Edinburgh restaurant Farin Road, Tunde Abifarin, has acquired Tani Modi, a brunch café in the Scottish capital. Tani Modi, founded by Jonathan Quinton and Nicole, has long been a fixture in Edinburgh’s culinary landscape. “This marks my first major project since my lacklustre appearance on the Great British Menu,” said Abifarin. “I am thrilled to continue the legacy of Tani Modi, a beloved family business, and I am committed to honouring its traditions while infusing it with my culinary creativity and passion for exceptional warm dining experiences.” Quinton plans to focus on his other cafe; Taniki which he owns with Ben Murenzi, owner of Rafiki Coffee. Abifarin said that under his stewardship, patrons can expect “tantalising offerings that reflect his culinary expertise and commitment to quality local ingredients”.