Seven Pizza Hut branded franchise stores have been acquired through pre-pack sales to unconnected parties.
Situl Raithatha of Leicester-based Springfields Advisory was appointed administrator of PH Leicester Ltd, PH Leicester 1 Ltd and PH Crawley Ltd on 7 September 2023. These companies operated sites across the Midlands and Sussex and came into cash-flow difficulties. After exploring their options, accelerated sales processes were pursued.
Springfields Advisory was advised by Zoe Oates and Elizabeth Mcphail in restructuring and insolvency at Schofield Sweeney.
The newly acquired stores include three in Leicester, two in Crawley, one in Loughborough and one in Tamworth, and it is understood that the purchasers are planning to re-open the sites.
The franchisor, Pizza Hut, will look to support affected employees and where possible assist with finding roles at other Pizza Hut or Yum! branded sites.
Nicolas Burquier, managing director, Pizza Hut UK & Europe, said: “Responding to an ever-shifting consumer landscape, our business and operating models are evolving. We remain confident and committed in our vision to be the number one choice in pizza; for consumers to order our pizza, employees to choose to be a part of our business and to be the partner of choice for franchisees.”
This announcement does not affect other Pizza Hut franchised stores and restaurants, which continue to operate as normal.
Situl Raithatha added: “The sale of the stores has in the circumstances delivered the best outcome for the various stakeholders. The businesses had been affected by market conditions, level of finance costs and other factors which led to significant financial difficulties.
“We are pleased to have completed the sales, which have helped to secure the future of the sites.”