Restaurant company Bistrot Pierre facing money troubles

THE French restaurant chain Bistrot Pierre, which has an outlet in Friar Gate, is reportedly looking at calling in administrators.

Hospitality trade website Propel says the group has been working with adviser KPMG on its options as the lockdown affects cashflow.

In the financial year before the pandemic hit, Bistrot Pierre brought in a total of £34.5 million but made a loss of £683,000 last year.

The Derby restaurant reopened for the first time since the lockdown on Tuesday evening.

The chain was founded in 1994 by friends Robert Beacham and John Whitehead and opened its first two restaurants in Derby and Nottingham.

Initially, they ran a Pierre Victoirebranded restaurant before the parent company failed and the entrepreneurs went it alone.

It went on to become a 25-strong chain across England and Wales.

The company is backed by private equity firm Livingbridge, with Propel claiming the firm could continue to back the business through a pre-pack administration. This means directors would purchase many of the company’s assets, with the cash raised going to creditors.

The group was reportedly involved in a sales process which generated “interest” but did not lead to a deal, Propel said.

According to reports, none of the restaurants are believed to be making a loss, with repayments on debt causing cashflow problems, exacerbated by the enforced closure during the pandemic.

The original Bistrot Pierre in Milton Street, Nottingham, celebrated its 25th anniversary last year.

Pre-lockdown, customers queued out of the door at lunchtime for a value-for-money deal.

A source close to the business told Propel: “The company is working with stakeholders to find a positive solution for the business to go forward.”

The company operates 25 restaurants in locations including Derby, Birmingham, Leicester and Stratford-upon-Avon, and has more than 900 employees.