The Restaurant Group raises £715 million to offset effects of Covid-19

Wednesday, March 10, 2021

Restore the restaurant group (TGR) has announced its intention to raise £175 million to boost cash, accelerate debt reduction efforts and support selective growth as the business continues to struggle with the ripple effects of Covid-19.

Shareholders are requested to approve the fund raising at a meeting later this month.

It has about 400 sites, but said its planned capital increase was the "last step" in its restructuring plan as it gears up to recover following the lifting of restrictions.

Under recent UK Government plans to ease the closure, restaurants and other pubs will open again on 12 April, while indoor restaurateurs will be back on 17 May.

A drop in revenues and pandemic costs caused the pre-tax loss to plunge to £127.6m, versus a loss of £37.3m in 2019.

By 2020 Bar Group revenues had plummeted 57 per cent to £459.8m as many of its restaurants closed down.