The fate of TGI Friday’s 49 British restaurants is again uncertain just a month after changing hands.
Financial advisory firm Interpath has been appointed to explore strategic options for the chain, which employs 2,000 people across the UK, and to appeal to potential investors about a possible deal.
This move comes just a few weeks after TGI Fridays in the UK was acquired by Sugarloaf TGIF Management, which is run by the chain’s former chief executive, Ray Blanchette. Phil Broad, president, TGI Fridays International Franchising, issued a statement to Sky News about the latest update. “The directors of TGI Fridays UK can confirm they are working closely with independent advisors to explore all available options for securing the long-term future of TGI Fridays in the UK,” he said.
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“Since assuming control last month, our priority has been to protect jobs, support our employees, and continue to deliver the welcoming, celebratory experience guests expect from TGI Fridays.
“These discussions are progressing constructively, and we will provide further updates when appropriate.”
While the reason for the rapid decision to market the business is unclear, the commencement of an investment process at the start of the festive trading period is likely to raise questions among prospective bidders.
TGI’s British chain, was previously sold just over a year ago to Calveton UK and Breal Capital, two investment firms which are said to have stabilised the business’s performance.
Sugarloaf, the global manager of the TGI Fridays brand acquired TGI Fridays UK just a year after the rescue deal.
The recent change in ownership saw the brand sell 51 branches and axe 1,000 jobs.
While the hospitality sector was not hit as hard by this week’s Budget as it had been in Rachel Reeves’s inaugural fiscal statement in autumn 2024, it did not provide as much financial relief as the industry had been calling for.