Novus looks to buy Soho Clubs & Bars
Novus Leisure, the bar operator led by Steve Richards, has entered exclusive negotiations to buy Soho Clubs & Bars for between £7m and £10m, M&C Report understands.
Talks are thought to be at an advanced stage for the company, which operates 10 well-known clubs and bars in London's West End.
The decision to sell Soho Clubs & Bars followed a review of the business by the corporate finance arm of Kroll Talbot Hughes.
Sources close to the situation suggest that while the operating company is somewhat over-leveraged, the individual outlets remain profitable and - in the majority of cases - in growth.
Before entering exclusivity, it is thought that Novus had been competing with the incumbent management team, led by chief executive Joachim Ritter.
A successful conclusion to the sale talks would see Novus, which is backed by private equity firm Cognetas, add the Jewel brand and outlets including Bar Soho, Candy Bar and Cheers to its West End operations, which alongside its flagship Tiger Tiger on Haymarket, include Red Cube and Sugar Reef.
Novus declined to comment on the situation.
