The restructuring of a fast-food operator Famous Brands UK-based Gourmet Burger Kitchen (GBK) passed an important milestone when its creditors approved the groups turnaround plan.
Famous Brands bought GBK for 120m in 2016, but its poor performance has led it to write down R874m.
When it bought GBK and its 97 stores from Nandos, the move was widely approved, but the slowdown in the economy, along with the uncertainty created by the UKs decision to leave the EU created a hostile trading environment.
The premium burger market had also become overtraded. The group acknowledged that operating issues such as sub-optimal management capacity resulted in its underperformance.
In an effort to turn around …
Read the full article at: https://www.businesslive.co.za/bd/companies/retail-and-consumer/2018-12-11-famous-brands-pushes-through-restructuring-of-uk-chain/