Caffé Uno, the Italian-style cafe chain, has been sold by the Restaurant Group for £33m to the private equity-backed company behind the Chez Gérard, Livebait, Bertorelli and Cafe Fish brands.
The move is expected to be the last in a string of disposals over four years which have progressively shifted the Restaurant Group's focus away from the high street and towards out-of-town dining locations such as cinema multiplexes, shopping malls and airports. Just 29 of its remaining 234 sites are located on high streets.
The 58 Caffé Uno sites will now join Paramount, which was a listed restaurant group until this year when it was the subject of a buyout orchestrated by its chairman, Guy Naggar, the man behind boutique buyout firm Dawnay Day. The acquisition vehicle Craftbutton, owned by JO Hambro Capital Management and Dawnay Day, is now one of the largest private restaurant owners, with 77 sites.
Brands disposed of or ditched by the Restaurant Group in recent years have included Wok Wok, Rick Shaw's, Deep Pan Pizza and roadside restaurant chain OK Diners. This year the group sold its Est Est Est pizza chain to specialist operator Living Ventures, in which it took a 40% stake.
The Restaurant Group's managing director, Andrew Page, said the group's high street sites - now just the 21-strong Garfunkel's chain - now make up about 10% of sales, compared to almost 50% four years ago. Garfunkel's will not be sold, he said.
Caffé Uno's earnings before interest and tax dropped by 45% for the six months to June 30.