16th July 2008
Clapham House to sell Bombay Bicycle Club group
Clapham House has today announced the sale of The Bombay Bicycle Club group (BBC), which comprises three restaurants and 15 delivery kitchens.
BBC has been bought by Gourmet Restaurants Limited for £4.4 million. Clapham House, which runs Gourmet Burger Kitchen and Tootsies will use the proceeds of the disposal to reduce existing bank debt and fund the continued development of Clapham House's other restaurant formats. BBC generated a pre-tax loss of £484,000 in the last year. Commenting on the sale, Paul Campbell, Chief Executive of Clapham House said: "Whilst we are sad to see The Bombay Bicycle Club leave our portfolio, it is predominantly a home delivery business with a different pricing point and a longer period for return on capital than our other brands. We believe that at the current time it is appropriate to strengthen our balance sheet and focus resources on our pure restaurant businesses, Gourmet Burger Kitchen, Tootsies and The Real Greek."