30 June 2009 – Financial Times
Premium Bars & Restaurants, the owner of the Prohibition and Living Room bar chains, is in exclusive talks to sell some or all of its assets to the Reuben brothers, the billionaire property investors.
David and Simon Reuben, the company’s biggest shareholders with a 32.5 per cent stake, are understood to have offered to buy all but five of PBR’s 47 sites for £52m.
The deal, if completed, could see PBR undergo a pre-pack administration, although no decision has been made.
An Aim-listed business, Premium’s shares were suspended last December. It is burdened with net debt of £41m, after buying Living Room and other brands.
The Manchester and Birmingham branches of Living Room are regularly patronised by many of those cities’ Premier League football players. Yesterday, PBR also said it reached an agreement with its bankers, led by RBS, to extend emergency funding from its £5.5m capital expenditure facility until July 31.
Shares in Premium Bars & Restaurants were suspended in December after it failed to issue full-year audited accounts.
It finally released the audited accounts in May, which showed a pre-tax loss of £21.4m in the year to June 30.