In a statement, D&D said that LDC, which had owned a majority share in the group since 2013, has transferred shareholder control to Beechbrook Capital.
David Loewi, D&D London's CEO, said: “We have recently received short term funding from our lenders to continue with our transformation plan. However, to complete the plan and invest in growth opportunities we require further long-term financial support. LDC have transferred shareholder control to Beechbrook Capital, who have been committed investors since 2017.
“Beechbrook are aligned with management and remain committed to the business. However, we want to understand what external opportunities exist for raising more finance. To this end, we have been appointed Interpath Advisory's Corporate Finance practice to sound out the market to seek further investment to support our plan.
“We see this as a highly positive move to support the business, investing further in our sites and looking for further investment opportunities to grow the business.”
It is the second time D&D has attempted to secure new investment in recent years. In late 2021 it was reported that the group was close to being acquired by Montecito Equity Partners in a deal was expected to place an enterprise value on D&D of about £100m. However, the talks failed to result in a deal.
The following April, LDC asked corporate financiers at Interpath Advisory to kick off talks with potential buyers for the group, but this sales process was ultimately put on hold after failing to realise a £100m asking price.
Co-founder and CEO Des Gunewardena subsequently left the business, with MCA, Restaurant's sister site, reporting that his departure came as a result of a difference of strategy with LDC.
Following Gunewardena's exit, D&D closed four marginal sites in a bid to boost the profitability of the estate.
Loewi added: “The UK hospitality business has been through a tough period with continuing industrial action, the wettest spring in 40 years according to the BBC, food, drink and utility inflation, and the Ukraine war … but we have also seen as soon as the sun shines a 30% turnover upside in our numbers, with our terraces packed, exceeding our forecasts. So we are very optimistic about the future.”