CAU's future in the balance as owner Gaucho explores a CVA

The future of casual steakhouse brand CAU remains unclear with owner Gaucho appointing KPMG to assess its options, which could lead to closures or conversions of the format.

A Company Voluntary Arrangement (CVA) is one of several options being considered, which comes amid a background of two years of double-digit like for like decline, which has accelerated in recent months, according to BigHospitality’s sister title MCA.

The group’s main brand Gaucho is understood to be performing in line with the market.

The company is looking at a range of options, but if it does proceed with a CVA overseen by KPMG, it could spell the end for the 22 strong-brand, with the sites subject to closure or conversion into Gaucho.

“As part of a comprehensive strategic review, the group’s new management team with the support of its shareholders, is at the early stages of exploring a number of financial restructuring options,” says a company spokesperson. “No decisions have yet been made.”

A new management team was recently appointed at CAU. The company’s founder, Zeev Godik, stepped down several months ago. He was replaced by Oliver Meakin, who joined from Maplin, the electricals retailer, which itself plunged into administration earlier this year.

Owner Equistone private equity is supportive of the process.

This story is based on information that first appeared on BigHospitality’s sister website MCA. To subscribe to its breaking news feed, click here