Gourmet buys London café to diversify business
Restaurant and café operator Gourmet Holdings has acquired Amato, a café and patisserie in London, as its first step to diversify its business and revive its fortunes.
Gourmet has spent £675,000 on the Old Compton Street-based café and patisserie, with the intention to develop its brand into further sites and use its kitchens to supply Richoux.
Gourmet chairman Neil Blows said: "The purchase of Amato is in line with the new Board's strategy of acquiring and developing a cafe/patisserie concept complementary to the Richoux brand.
"We will also utilise the quality authentic Italian cakes and pastries produced by Amato to supply our Richoux outlets. We are confident that we can develop the Amato brand further and enhance profitability."
Gourmet had promised to diversify its business into high-end high-street café concepts after disposing of its Bel and the Dragon branded pub sites to Ultimate Leisure (now Premium Bars and Restaurants) in June for £8.75m.
The sale was part of a restructuring programme aimed at making its restaurant brand Richoux as cash-generative as possible.
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By Christopher Walton
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