Orchid to look at re-opening north-east base for PBR

Orchid boss Rufus Hall has said that the company will look to re-open a base in the north-east for Premium Bars and Restaurant (PBR) after Orchid completes its take-over plan.

Orchid chief executive Rufus Hall told the Newcastle Journal: "The deal is agreed in principle. "We want the employees and customers to know it's going to be okay. We've followed it [the situation] and we've been trying to do a deal for a while.

"With the North East segment of this business, we would be keen to reopen the office in Newcastle. The Ultimate side of the business had its emotional soul in the North East."

The Orchid Group, which owns almost 250 pubs and restaurants, will formally agree exclusivity on a takeover plan shortly with formal papework due to take up to six weeks. PBR, which has well-known brands including The Living Room, Bel & The Dragon, Prohibition and the Ultimate Leisure chain, ceased trading after racking up debt of more than £40m and failing to secure extra bank funding. The group made a loss of more than £20m last year.

Hall said the Orchid deal would secure the futures of workers at around 45 PBR outlets that are still open.

PBR, which changed its name from Ultimate Leisure in 2007 before moving its Newcastle headquarters to Cheshire last year, operates the Blu Bambu and Sea nightclubs in Newcastle, bars Chase and Jimmyz in Newcastle, the Waterside Hotel on Newcastle Quayside and Rex Hotel in Whitley Bay.

Hall, who hails from the north-east, added:"I worked for Joe Robinson who set up some of these bars."

The Orchid Group, which is backed by GI Partners, is one of the UK's biggest privately-owned pub operators.

Hall added: "All of our pubs are suburban, away from the city centre. "Ours are large, well-invested pubs - 44% of our sales is food. We've invested in our pubs over the last few years to move with the times.

"We are repositioning towards food, wine, coffee and women. The high street had been overheating, but the opportunity is now the right time to invest in the high street."