Nightcap explores deal for Revolution Bars Group but hasn’t yet made an offer: Revolution Bars Group – the operator of the Revolution, Revolución de Cuba and Peach Pubs brands – has revealed that Nightcap – owner of the Cocktail Club, the Adventure Bar Group, Dirty Martini and the Barrio Familia group of 46 bars – has explored a deal for the business but hasn’t yet made an offer. Revolution Bars Group was responding to a Sky News report that Nightcap and Rekom UK, the nightclub and bar operator, have expressed an interest in buying part or all of Revolution Bars Group. A number of private equity firms are also said to have been planning to submit offers. Revolution Bars Group stated: “The board of Revolution Bars Group notes the recent press speculation and confirms that it has held an exploratory meeting with Nightcap regarding a range of possible transactions including a possible offer for the entire issued and to be issued ordinary share capital of Revolution Bars Group. Nightcap is not participating in the formal sales process, as announced on 10 April 2024. There can be no certainty that any firm offer will be made for Revolution Bars Group, nor as to the terms on which any firm offer might be made. In accordance with rule 2.6(a) of the code, Nightcap is required, by no later than 5pm (London time) on 30 May 2024, being 28 days after today’s date, to either announce a firm intention to make an offer for Revolution Bars Group in accordance with rule 2.7 of the code or announce that it does not intend to make an offer, in which case the announcement will be treated as a statement to which rule 2.8 of the code applies. This deadline can be extended with the consent of the Takeover Panel in accordance with rule 2.6(c) of the code. A further announcement will be made as and when appropriate.” Revolution Bars Group announced this week that it was postponing its general meeting, which had been scheduled to take place today (Thursday, 2 May) to “provide additional time to fully explore its strategic options”. The company has received commitments from investors to raise a £12.5m lifeline as it prepares to launch a restructuring plan. Under this process, it plans to close 18 of its circa 80 sites, of which six are already currently shut, and impose a rent reduction at 14 sites to enable the group to return to profitability at a sustainable level. The company is grappling with rising costs and a downturn in trading. Its stock market value has slumped by nearly 75% over the last 12 months, and it now has a market valuation of little more than £6m. If the restructuring plan fails to gain sufficient approval from creditors, the only viable alternative for the company would be a sale. About 2,500 people work for the group, which floated in London for the second time in 2015.
Excited for this unstoppable partnership! 🥂