Founder Joe Grossman has confirmed to MCA, a sister site to Restaurant, that the group, which operates six restaurants across London and a single regional outpost in Brighton, and its assets has been acquired by a new company led by the existing management team.
“With funding being made available by existing investors, Patty & Bun will continue to trade from all its sites and all staff will be kept on to help build the business to a bigger and better future,” Grossman says.
The restructuring comes less than two years after the group, which launched back in 2012, underwent a Company Voluntary Arrangement (CVA), which led to the closure of its restaurants on Old Compton Street in Soho and London Bridge.
Grossman says that since then trading has been ‘challenging’, with revenues impacted by the effect of working from home culture and costs materially increasing across the board.
“The management team remains confident that the business has a profitable and bright future,” he continues.
“However, over the last few months the requirement to service the CVA put too much pressure on cash flow for it to continue in its current structure.”
A restructuring of the group was subsequently planned, following professional advice.
Patty & Bun also operates three concessions in the UK in Swingers and Lane7 venues, as well as a single location within Swingers Dubai that launched earlier this year.
The latter comes after the brand announced its plans to expand internationally last year.