The Real Greek restaurant chain has been partially rescued from administration. The Karali Group purchased 19 of its 28 outlets, saving 358 jobs. However, the chain will still close nine locations and eliminate over 150 jobs.
As of early Tuesday, the closures include sites in London, Bristol, and Scotland. The central kitchen operation will also shut down as part of a restructuring plan. The last financial report indicated an operating loss of £3.6 million.
The Real Greek was founded in London in 1999 and has faced significant challenges within the UK casual dining sector. Rising costs, inflation, and increased labor expenses have strained many restaurants.
Fulham Shore, which owns The Real Greek and the Franco Manca chain, planned to appoint administrators before the rescue deal was finalized. This transaction comes after the administration of Toridoll, Fulham Shore’s parent company.
Key facts about the restructuring:
- The Real Greek will retain 19 of its original 28 outlets.
- Nine locations are set to close across various regions.
- A total of 358 jobs will be saved while 151 positions will be lost.
Marcel Khan stated that “the transaction will ensure that the business is placed on a more sustainable footing for the future.” Meanwhile, Toridoll highlighted that inflation has created a challenging environment for hospitality businesses.
Paul Berkovi expressed satisfaction with securing a future for a beloved restaurant group. He noted collaboration with management to achieve this outcome.
The economic impact on dining continues to evolve as businesses adapt to current market conditions. Job losses in restaurants remain a pressing concern amid these changes.
