The popular restuarant chain has appointed joint administrators to oversee the process.
TGI Fridays has been forced to shut 16 UK restaurants (Image: Getty)
Family favourite restaurant chain TGI Fridays has been forced to abruptly shut 16 of its branches in the UK after collapsing into administration. The pre-pack administration, which saves 33 branches, will, however, lead to the loss of more than 450 jobs, in a major blow for the high street.
The business and assets of Liberty Bar and Restaurant Group Limited, which operates the UK arm of the American-themed dining chain, have been acquired by Sugarloaf TGIF Operations Limited. The deal, completed immediately after administrators were appointed, secures the jobs of 1,384 employees across the remaining restaurants. However, the rescue deal does not cover 16 of the group’s sites. These locations have closed with immediate effect, resulting in 456 redundancies. The joint administrators said supporting the affected employees is now a priority as they oversee the closure of the non-transferring restaurants.
The iconic chain has been forced to shut 16 branches immediately (Image: Getty)
Ryan Grant and Will Wright were appointed joint administrators to Liberty Bar and Restaurant Group Limited today (January 13).
In a statement, Phil Broad, Global President of TGI Fridays, said he believes the future of the iconic chain is in “strong hands” with the focus now turning to reinvigorate the brand.
He said: “We have been working closely to explore all available options for securing the long-term future of TGI Fridays in the UK, and believe that this is the best outcome for the business, preserves jobs, and offers a strong platform for success and growth.
“TGI Fridays has a long history in the UK, and I believe that the future of the brand is in strong hands – focused on reinvigorating the brand while continuing to deliver the bold flavours, welcoming atmosphere, and high-energy dining experience that define TGI Fridays.”
TGI Fridays first opened in the UK in 1986 (Image: Getty)
Ryan Grant, managing director at Interpath and joint administrator, said: “We are pleased to have been able to secure this transaction which will see this well-known brand continue to trade across the UK.
“While these have been difficult times for hospitality operators generally, this marks a pivotal step in TGI Friday’s wider turnaround plan, putting in place stable foundations upon which it can begin to move forward.”
The company behind TGI Fridays filed to appoint administrators twice in December.
TGI Fridays opened its first UK restaurant on Hagley Road in Birmingham in 1986, before expanding across Britain.
At its peak, the famous chain once operated around more than UK restaurants, but the number has now shrunk massively, reflecting years of closures and financial pressure.
