Collapsed steak chain Gaucho rescued by banks in a move that could save 16 restaurants and 750 jobs
- Collapsed Gaucho has been removed from the administration by his financiers
- Investec and SC Lowy plan to save 16 branches and 750 jobs
- The deal depends on a successful CVA to dump CAU obligations
Earlier this year Gaucho was the victim of heavy trade conditions on British High Streets, but at the end of the tunnel there may be a light for the collapsed Argentinian steakhouse chain.
Two of its lenders – Investec and SC Lowy – have signed a deal to get Gaucho out of administration, securing the future of 750 jobs and its 16 restaurants.
But there is a catch, because the purchase depends on the successful delivery of a voluntary company, reported the manager of Deloitte Wednesday.
Gaucho collapsed in the government in July this year, putting the future of 1,500 jobs at risk
The new suitors want to delete obligations that are linked to Gaucho's sister restaurant chain Cau, which collapsed in July with the loss of 540 jobs.
In order for the rescue agreement to continue, creditors, including landlords, must give the CVA the green light on 19 September in case of a crunch vote.
A Investec spokesperson said: "We believe that the creditors' group will support the necessary CVA, which will allow Gaucho to cease management shortly so that we can continue the business."
He added: "We have been supporting Gaucho since 2016 and continue to provide support to the company due to the difficult conditions in 2018.
We know the Gaucho team well and are confident that they can revive the Gaucho brand. & # 39;
The & # 39; Gaucho citizens & # 39; from the Argentinian steakhouse
As part of the deal, chief executive Oliver Meakin will step down in that position after less than a year.
Meakin previously runs Maplin, the High Street chain, but in February this year, he had his thoughts with the electricals firm before it reached the buffers.
Martin Williams, founder of M's group of eateries, will work alongside Investec and SC Lowry to oversee the next phase of Gaucho's development.
The sale is expected to be completed in mid-October after approval from the CVA.
Gaucho is one of the many restaurant chains in trouble, with Prezzo, Byron and Jamie & # 39; s Italian, all closing restaurants and this year scrapping hundreds of jobs.
Hummus Bros, a food chain in London, also joined this summer and Gourmet Burger Kitchen is starting a closure plan for stores.