It was reported last week that a deal for the Belgium-owned chain's UK business was being finalised, with the company's administrators Alvarez & Marsal now confirming to BigHospitality that it had been bought by BrunchCo, which is a subsidiary of a newly-formed holding company named BrunchCo 21 SA.
Reports suggest that BrunchCo 21 SA, which is also in the process of acquiring Le Pain Quotidien's Belgian and French operations, is connected to Cobepa; a Belgian-based investment firm that is the chain's existing backer.
As part of the pre-pack deal, 11 Le Pain Quotidien sites will be closed permanently, rather than 10 as was originally reported
The group's UK head office will also close, and in total 200 jobs within the company will be made redundant.
It was reported back in April that Le Pain Quotidien was on the brink of collapse following the Government-mandated Coronavirus lockdown of the hospitality sector, with professional services firm Alvarez & Marsal brought in to oversee an emergency sales process for the business.
Rob Croxen and Jonny Marston were subsequently appointed joint administrators to Le Pain Quotidien on 11 June.
According to the administrators, BrunchCo’s shareholders intend to make 'significant investments' in Le Pain Quotidien to create a sustainable future for the UK business.
“Like many operators in the hospitality sector, LPQ has struggled with tough market conditions for a number of years," says Croxen.
"This situation has been exasperated by the coronavirus outbreak. This acquisition secures the brand’s future in the UK, and we hope to conclude the restructuring process within the next few days. We appreciate the support of LPQ’s employees at this difficult time.”
