As reported by Sky News, a deal is being finalized between the buyers and administrators of Hostmore, TGI Fridays’ UK owner, which is expected to save over 2,000 jobs. An agreement should be reached in the coming days. Sources indicate the deal will likely involve between 50 and 55 of the chain’s 87 locations, although final details are still being worked out.
Hostmore filed for administration last month after abandoning an all-share acquisition of TGI Fridays’ US business. This occurred after the US group lost control of TGIF Funding, which is responsible for holding legal title to various royalties, fees, and intellectual property income related to the TGI Fridays franchise.
Breal and Calveton acquired D&D London last year and were reportedly in advanced negotiations to take on TGI Fridays’ UK franchise late last month. At that time, it was unclear how much they would be willing to pay for TGI Fridays, though one industry source expressed confidence in their ability to successfully manage a streamlined version of the business.
The deal is expected to include the casual dining chain’s existing leases and the rights to use the TGI Fridays brand in the UK. Breal and Teneo declined to comment, and Calveton could not be reached for a statement.
