According to Sky News, Interpath Advisory is preparing a sale of the 13-strong group with sources suggesting that a vehicle set up by Cherry Equity Partners, the investment platform led by Ed Standring, will be the likely buyer.
Gusto is currently backed by private equity investor Palatine with its estate primarily concentrated across the North West, Yorkshire and the Midlands.
It also has outposts as far north as Edinburgh in Scotland and as far south as Oxford.
A pre-pack deal could be announced in the coming days, according to Sky, with most of Gusto’s estate expected to be sold.
However, some job losses are said to be likely.
Restaurant has contacted Gusto and Interpath Advisory for comment.
Earlier this year, Matt Snell left his role as CEO at Gusto after more than seven years with the group to take over the leadership of Boxpark.
Gusto notably became the UK’s first casual dining brand to launch a subscription-based membership programme.
Last year the group launched its Platinum Club, which requires guests to an annual fee of £65 upfront, or £6 monthly, to access discounts and other benefits.
In 2020 amid the Covid-19 pandemic the group completed a Company Voluntary Arrangement that saw four restaurants close with a loss of 105 jobs.