Major bar chain could close 12 MORE sites after already shutting six – following ‘secret talks’ about sale
A POPULAR chain has announced plans which could involve closing up to 12 bars after six have already shut.
Revolution Bars Group has plans for an overhaul which could see 12 of its bars shut down for good.
The firm is also considering whether putting itself up for sale would be better than restructuring.
The chain recently revealed it has been dealing with cost-of-living pressures which were affecting its sales.
The group also owns other chains such as Peach Pubs and Revolucion de Cuba.
Revolution Bars had its shares suspended from the London Stock Exchange earlier this month.
This sent the company shares pricey jumping by 40%.
In a bid to save the business, the chain said it was planning to raise £12.5 million through fundraising.
The plans have the backing of Luke Johnson the former chairman of restaurant chains Pizza Express and Giraffe.
This would take place alongside cost savings which could include offloading its loss-making sites, which it expects to be 18 bars, including six which are already closed.
The Sun has reached out to Revolution Bars for comment and for the full list of potential branches closing.
The bar chain has been vocal about the challenges it has faced as a result of the Covid-19 pandemic, rising inflation, and staff shortages.
It said its Revolution Bars have been particularly hit by the cost-of-living crisis squeezing consumer finances and regular train strikes affecting its younger customers.
If it does not go ahead with fundraising or make cost savings from restructuring, then the firm said it expects to face “liquidity pressures” next year.
It is also mulling over a sale which it said could be more beneficial for shareholders than the restructuring efforts.
It is not currently in any discussion with a potential suitor, and it stressed there can be no certainty that an offer will be made.