The hospitality group behind the Revolución de Cuba venue in Belfast has announced plans to appoint administrators, but said it still remains locked in talks over a possible sale.
Revolution bars group The Revel Collective – which also venues under the Peach Pubs brands – said it had filed a notice to appoint administrators “to protect creditors”.
The firm is still in discussions over a potential sale, adding that these were “well advanced” and that it expects to make a further announcement “in the coming days”.
The Revel Collective – chaired by former Pizza Express boss Luke Johnson – put itself up for sale in October as its cash crisis deepened and sales slumped.
It warned two months later that shareholders were likely to be wiped out as part of any deal.
The hospitality group’s portfolio includes Revolución De Cuba on Belfast’s Arthur Street, which is leased from the building’s owner, JD Wetherspoon.
The firm said on Monday: “Since the transactions being contemplated are not expected to deliver any return to shareholders, the board has resolved to take action to protect creditors.
“Unless circumstances change, and in accordance with statutory requirements, the board intends to appoint administrators within 10 business days.”
“The business will continue to trade and the company will continue to work alongside advisers in order to preserve as much value as possible for all stakeholders as it advances a potential sale of all or parts of the business,” the group added.
The group undertook a major restructuring in 2024, in which it shut 15 unprofitable bars in a bid to turn around its performance.
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But the revamp plans faltered and it launched a strategic review last autumn into funding and a sale of all or parts of the business.
It trades from around 62 sites in total, and employed just over 3,000 workers as of the end of June 2024.
Bosses at the firm said in October that revenue has been weaker than expected as younger customers reined in their spending and due to warm weather over the summer.
Revenues dropped by 7.4% to £26.3 million over the three months to September, driven by a 10.5% like-for-like decline in its bars business.
The company also disclosed that its debts grew further, rising to £25.3 million from £22.1 million at the end of June.
