Documents filed to Companies House show The Coconut Tree formally entered administration on 6 November with Mark Boughey and Rebecca Dacre of Forvis Mazaars appointed to oversee the process.
It follows reports back in July that the group faced being wound up having defaulted on its CVA.
Since then, the group has continued to trade across its seven restaurants, which includes locations in Bristol, Bath, Oxford, Reading and Cheltenham.
According to documents filed to Companies House in July this year, The Coconut Tree owes a total of £1.6m to HM Revenue and Customs (HMRC) that included VAT, PAYE and employee National Insurance payments.
The group was required to pay £27,000 a month for an initial three months, followed by £45,000 per month for 12 months, and then £50,000 for 10 months, increasing to £55,000 until April 2028.
Under the proposals, set out by Boughey and Michel Field of Forvis Mazaars, who were appointed to oversee the CVA process in July 2024, the group intended to sell the freehold to its Cheltenham restaurant and then lease it back as a means for releasing equity. However, it was unable to find a suitable purchaser.
The group also received an offer to operate a franchise from its Bournemouth restaurant that would have traded under The Coconut Tree brand, but this deal also fell through.
A company director requested a payment holiday for the month of March 2025, which was granted.
However, the arrangement was subsequently defaulted on with the joint supervisors petitioning for the company to be wound up as a result.
Total contributions from the company during the duration of the CVA were £376,000.
The Coconut Tree was founded in 2016 by Mithra Fernando, Rashintha Rodrigo, Shamil Tiranjan Fernando, Dhanushka Fernando, and Praveen Cliford Demitrius Fernando Thangiah, who all hail from Sri Lanka.
In June 2024 the company entered into a CVA having launched a crowdfund to raise £1m earlier in the year.