2018 Q1 Highlights
January 2018
Byron announces a restructuring plan involving Hutton Collins to sell half of its existing holding to Three Hills Capital Partners; making it the majority shareholder.
Brasserie Bar Co has increased turnover by 14% for the year ending 31 July 2017 to £46.8m, with EBITDA up by 23.7%.
Coaching Inn Group reports an increase of 7.8% during December on like-for like sales.
Redcomb Pubs reports an increase in December sales, like-for-like growth of 12.6%.
Barworks has increased turnover by 15.6%, with adjusted EBITDA increasing to £1,410,678 from £1,122,082 equating to a surge of 25.7%.
February 2018
Prezzo, owned by TBG Capital private equity firm, prepares to launch a CVA.
Park Hotels & Resorts sells seven Hilton Hotels to Starwood Capital Group for £135m – with a total of more than 1,300 bedrooms – including: Hilton London Islington, Hilton Bath City, Hilton Edinburgh Grosvenor, Hilton Belfast, Hilton Blackpool, Hilton Milton Keynes and Hilton Coylumbridge.
Ten Entertainment acquires sites in Chichester and Warrington to bring its total up to 42 sites, as well as reporting a total sales increase to £71m, an increase of 5.5% (in 52 weeks v 53 weeks to 31 December 2017) with adjusted net profit before tax increasing to £13m, up on 18% from last year.
March 2018
Carluccio's hires restructuring experts to look at the finances of the company.
Prezzo's CVA proposal approved, 94 units will close.
Everyman Cinemas has reported an increase in revenue for year ending 28 December 2017 by 37% (£40.6m). Three sites have been opened in 12 months and contracts exchanged on an additional nine sites.
Gym Group reports an increase in revenue of £91.4m up 24.3% with expansion plans for 15-20 new units within 2018.
Conviviality intends to appoint administrators after failing to raise £125m. It owns drinks wholesaler supplier Matthew Clark, Wine Rack, Bargain Booze.
The first quarter has seen sizeable growth in pub and late-night bar turnover figures, especially following a lucrative December for the likes of Redcomb Pubs, Barworks and Deltic Group.
However, this has not been reflected in the middle market restaurant sector with the restructuring of Carluccio's, Jamie Oliver Restaurant Group and Prezzo having compulsory voluntary arrangements (CVA) approved in Q1.
Freehold pub prices have increased by 14.6% as a result of an increase in portfolio deals in 2017 against a decrease in the number of individual sales.
The pub market has been lively, with the sale of companies such as Draft House – acquired by BrewDog – and Dark Star Brewery – acquired by Fuller’s.
There are now more than 2,000 breweries in the UK, rising by 64% in just over five years due to the increase in popularity of craft beers.
After submitting plans for a £13m, 30,000hl brewery, pub and visitor centre just outside of Bedford, Charles Wells is set to enter the country's brewing scene.
Fleurets’ senior associate Elysia Wilson-Gunn said: "I know I started off 'a mixed start for 2018' but it really has been in terms of Matthew Clark, Bargain Booze, all of that happening, alongside a pretty positive start for the hotels market, and then the restaurant market being in a way quite negative, and pubs staying quite steady and having a very good December.
"The report was really looking at the pub versus the restaurant market in the first three months. You can see that you've got some pretty positive news from pub operators, countrywide. Coaching Inns are based more in the north-east, you've got Redcomb Pubs that is spread around middle England, and Barworks, which is London centric.
"But then there's been some sad news at the start of the year with the restructuring of Carluccio's, Prezzo going to CVA.
"The results that were published show that pubs are doing well. BrewDog buying Draft House has shown this, whereas we haven't necessarily seen any deals like that happen in the restaurant market in the past three months.
"Certainly there's more stock coming to the market, probably higher quality stock. I know, from this end, we've been incredibly busy.”
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