Prezzo, Wisbech, NOT on list of planned 94 closures according to reputable city based website

Prezz, Wisbech: MP Steve Barclay )centre) taking a sneak preview

Prezz, Wisbech: MP Steve Barclay )centre) taking a sneak preview - Credit: Archant

Wisbech branch of Prezzo appears to have escaped the cull of 94 restaurants owned by the chain which are due to close within coming weeks.

The financially troubled parent company has entered into a company voluntary arrangement (CVA) to protect its precarious trading position but closing the 90-seater Wisbech store is not thought to be one of its options.

The proposal allows Prezzo to rationalise its estate and to reduce the cost of its leased restaurants.

“This will allow the company to focus its resources on the core, more profitable restaurants whilst continuing to meet its obligations to suppliers and creditors,” said a company spokesman.

“Prezzo will be better placed to implement the changes required to refresh the Prezzo brand and to counter the economic challenges currently affecting the casual dining sector.”

This proposed restructuring, under the terms of a company voluntary arrangement (CVA), will allow Prezzo to continue operating while it implements plans to improve its food and service and to invest in new restaurant layouts and designs.

Under the CVA process, Prezzo has submitted a restructuring plan to its creditors and will seek their approval of the CVA at a meeting on March 23. If approved by the creditors, the CVA proposal will substantially reduce Prezzo’s rental obligations and “will move the business towards a more robust business model” said the spokesman.

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“Where restaurants are closed, we will do everything possible to redeploy staff to other sites.”

According to the respect CityAM website today, the full list of 94 restaurants – that includes other trading arms – does not include the Cromwell retail park branch of Prezzo’s.

Jon Hendry-Pickup, chief executive of Prezzo, said yesterday: “Prezzo’s core business is fundamentally strong and has fantastic potential.

“However, the well-documented pressures on our industry mean a number of our restaurants are underperforming.

“While we continue to be profitable and cash-generative, our position is not sustainable, so we must take decisive action now to ensure we’re able to thrive in the future.”

Prezzo, Wisbech, opened in December 2014 and is thought to employ up to 20 people.