KPMG confirms Byron CVA instruction

By James Buckley - Tuesday, January 09, 2018 15:30

Accountancy firm KPMG has confirmed it has been appointed to supervise struggling burger chain Byron’s CVA.

Under the accountant’s supervision, Byron will look to overhaul its business and ask for a rent reduction across some of its 70-restaurant portfolio in the UK.

Byron is having to launch the company voluntary agreement in order to enact the changes needed to secure the company’s future.

Under a CVA, a company enters into a legally binding agreement with its creditors, including landlords, to prevent it from falling into administration.

Will Wright, restructuring partner at KPMG, said: “Over the last ten years, Byron has grown to become a stand-out name within the UK’s casual dining sector. However, in recent times, certain parts of its portfolio have not met expectations, and with gathering economic headwinds starting to impact the sector more profoundly, the directors embarked upon a strategic review of the business as a means of safeguarding its long-term future.”

Byron opened its first restaurant back in 2007. The CVA proposal would see some of those restaurants continue to operate as they do currently, while others will have their rents reduced.

Jbuckley@costar.co.uk

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