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CLOSING TIME

Prezzo to close 94 restaurants with the loss of 500 jobs

The Italian chain has reached a deal with its creditors to restructure the business - but hundreds of jobs are set to go

PREZZO is to close 94 of its restaurants with the loss of 500 jobs.

The Italian chain has reached a deal with its creditors to restructure the business - but hundreds of jobs are set to go as a result.

 Prezzo will close 94 branches in total including 33 Chimichanga branches
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Prezzo will close 94 branches in total including 33 Chimichanga branchesCredit: Alamy

Of the 94 branches closing, all 33 of the Tex-Mex Chimichanga brand will be shut for good, with the restaurants closing in April and May.

The remaining 208 restaurants will continue operating as usual.

Workers will be informed of the exact dates as soon as possible, with the chain saying  "every effort" will be made to find them alternative roles.

The company entered into a Company Voluntary Agreement (CVA) earlier this month, which will allow it to restructure its business.

And that plan has today been approved, with 88 per cent of its creditors voting in support of the proposals.

Jon Hendry-Pickup, CEO of Prezzo, said: “I would like to thank our creditors and landlords for supporting our Transformation Plan.

"While we continue to be profitable, the pressures on our industry have been well documented.

"Despite this being a tough decision, the support given today by our creditors shows that they believe we have the right approach to transforming Prezzo in the eyes of teams, customers and stakeholders.

"It has been a challenging time during the CVA process and I would like to thank our suppliers, colleagues and customers for their patience and support."

It has been a dismal start to 2018 for many high street names.

Toys R Us and Maplin have both collapsed, while New Look is to axe 60 stores across the country as it tries to restructure its business, putting more than 900 jobs at risk.

Prezzo turns to the dark side with the launch of the UK’s first charcoal-based black pizza


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