Chapelfield restaurant earmarked for closure
PUBLISHED: 13:39 07 March 2019 | UPDATED: 08:13 08 March 2019
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An East Anglian Giraffe restaurant is set to close.
Giraffe, at intu Chapelfield in Norwich, has been earmarked for closure by its owners.
The fate of other Giraffe outlets in Bury St Edmunds and Chelmsford is unknown.
The eatery, which is owned Boparan Restaurant Group (BRG), is one of 27 restaurants earmarked for closure, including some Ed’s Easy Diners, which BRG also owns.
Ed’s Easy Diner has a restaurant in the food court of intu Chapelfield.
The closures will be bought about by a company voluntary agrrangement (CVA).
A CVA is a restructuring process which allows a company to get rid of loss making stores and reduce rents to enable it to carry on trading.
Will Wright, restructuring partner at KPMG and a proposed supervisor of the CVA, said: “This CVA seeks to address the cost of the company’s leasehold obligations across a number of unprofitable sites, and if successful, will put the business on a surer financial footing. Importantly, it constitutes one element of a wider financial and operational turnaround plan which, subject to the CVA’s approval, will see an injection of funding into the business from the company’s majority shareholder.”
Giraffe Concepts needs to secure at least 75% creditor approval for the CVA for it to proceed.
A detailed proposal document is expected to be made available to creditors via a dedicated website today. The creditors will vote on the CVA on 21st March 2019.