Massive Pub Company calls in the administrators

Massive Pub Company, the London-based multiple operator, has put 34 of its 46 sites into administration.

It is understood the pub operator called in accountants Grant Thornton after the collapse of a proposed deal to sell a number of its sites to Sports Cafe, after it too went into administration earlier this month.

Tough trading conditions have not helped Massive's cause, a source close the company said.

The source added that such a highly operationally geared company as Massive meant that when there was a downturn in trading the business was hit hard.

"In the current conditions a five per cent decline on the top line becomes disastrous at the bottom line."

Massive had managed to reach an agreement last year with the tax authorities to defer a number of VAT and PAYE payments, but the tough trading and the failure of the Sports Cafe deal to materialise meant the business "ran out of time", the source added.

Massive's managing director Peter Linacre is understood to be looking to acquire a number of the affected sites.

One site among the affected pubs, the Castlemau in Barnes, west London, is believed to have closed.

A spokesman for Grant Thornton said: "We were appointed as administrators at 10.30am this morning. The group's assets include 36 food and wet-led pubs including the Thomas & Carter and Auberge brands.

"35 of these continue to trade and we are looking at offers for the entire portfolio or on an individual site-by-site basis."

The spokesman said it was "premature" to discuss the identity of any likely purchasers.