Revolution Bars secures 'long-term future' following High Court approval
Revolution Bars Group
0.93p
16:55 09/09/24
Bar chain Revolution Bars said on Friday that its "long-term future" had been secured after its restructuring plans received approval from London's High Court.
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Revolution Bars said its turnaround plan would enable it to restructure certain liabilities, including amending and extending its secured lending facilities, exiting the leases of certain loss-making sites, and implementing necessary rent reductions on certain other sites to enable them to return to profitability at a sustainable level.
The London-listed group expects the plan to deliver "a significant annualised EBITDA improvement" of roughly £3.8m.
Revolution also noted that trading during the latter part of the year ended 30 June was "undoubtedly impacted" by the "uncertainty and distraction" of the restructuring process, the now concluded formal sale process, refinancing and fundraising collectively, which have been the main focus for the board.
However, Revolution confirmed that FY 24 underlying earnings were expected to be roughly £3.0m.
As of 0940 BST, Revolution shares had surged 20% to 1.32p.
Reporting by Iain Gilbert at Sharecast.com