In its results for the year to September 2020, the Hugh Osmond-founded group said that following its successful £25m share raising, the post-covid environment presents an “unprecedented opportunity” for the business to scale up its two restaurant brands.
Having invested in improving the Coppa Club offer, and opening its first Tavolino site in July 2020, the group has said both are poised to “immediately” scale up using the funds raised in the placing.
It will target distressed sites in prime locations, and look to identify potential, complementary, bolt-on acquisitions of other restaurant brands.
Total group revenue for the year was down 36% to £16.5m (FY19: £25.6m), and EBITDA losses before exceptional costs for the year was £1.7m, with a total loss after exceptional costs and impairments of £14.4m. Net assets at 27 September 2020 were £27.2m.
However, in periods outside of lockdown, the group described trading as “strong”, with summer trade from July to September – where like-for-like revenue at Coppa Club was up 0.8% - providing “encouraging” results for the future.
Last month the company revealed that it had received an interim payment of £2.5m under its Business Interruption Insurance (BII) policy.
Alongside the launch of Tavolino in Tower Bridge, the group opened a new Coppa Club site in Cobham in December, and brought in two hotel sister operations to enhance the clubhouse element of the brand. It now operates seven Coppa Club venues.
Andy Bassadone joined the board as executive chairman and invested in the group, and further senior appointments were later made including that of CEO Yishay Malkov and, post-period end, property director Raj Manek.
Following the period, the group secured a business interruption insurance interim payment of £2.5m.
“It has been difficult to watch as the virus continues to devastate our industry, but it has panned out as we expected, validating our approach and making us even more determined to make a contribution to the recovery,” says Bassadone.
“As soon as we are given the green light by Government, we plan to expand the business, to employ more people and to give customers high-quality experiences of hospitality, perfectly suited to a post lockdown world.”