The grab-and-go brand has called on insolvency and recovery firm Begbies Traynor to assist in the restructuring, according to City AM.
Two partners, one from the firm’s business rescue and recovery team and the other from its insolvency group, are named as nominees for the chain to file an application to the High Court.
The partners submitted a company voluntary arrangement (CVA) application to the court on Wednesday on behalf of Island Poké.
A spokesperson for Island Poké confirmed the story to Restaurant.
They said: “We continue to strongly believe in the business. The core is profitable, but has been saddled with a large amount of Covid debt.
“The CVA proposal will strengthen the company and allow us to focus on providing fresh, healthy poké to our customers.”
A CVA is a type of insolvency process typically used as a way for companies in distress to pay off their debts over a fixed period of time.
Island Poké was founded by James Porter, a former Bonhams auctioneer, back in 2015.
Initially operating as a street food stall, it went on to open its first bricks and mortar site on Kingly Street in Soho later that year.
The group now operates 17 UK sites, primarily based in the capital; alongside 10 outposts in France that are run under franchise.