Premium Bars and Restaurants (PBR) has refused to confirm that the billionaire Reuben brothers have put in a £40m bid that would see the operator undergo a pre-pack administration.
The Times newspaper today reported that that David and Simon Reubens have offered to buy all but five of PBR's 48 outlets, which operate under brands such as Living Room and Prohibition. The offer would see shareholders lose all of their money and the banks write off up to £10m of debt.
Other intentions include removing the entire senior management and executives at PBR's head office in Hale, Cheshire, seeking a renewal of the bank facility for five years with a banking covenant holiday of three years and selling up to £10m of assets to repay some of the debt.
But a PBR spokesman said he could not comment on specifics. "PBR is managing an auction of itself and the process is ongoing and not yet completed," he told Caterersearch, adding that final bids were expected in the next fortnight.
In April, PBR received a short-term stay of execution from its lenders on the proviso that it finds a buyer for some or all of its assets.
By Helen Gilbert
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