The Restaurant Group (TRG) has today agreed to sell its loss-making leisure business, which includes brands Frankie & Benny's and Chiquito, to Cafe Rouge owner Big Table Group to bolster margins and cut debt.
Wagamama owner Restaurant Group said it will pay £7.5m to Big Table as part of the deal, which includes 75 sites and restaurants.
The buyer will pay Restaurant Group a nominal value of £1.
Private equity-owned Big Table Group operates more than 160 sites across the UK, with restaurant brands including Bella Italia, Las Iguanas and Banana Tree.
The deal is expected to close in the fourth quarter, and likely to add to the earnings in the first full year after completion, TRG said.
