​UK TGI Fridays Saved by New Investors, Over 1,000 Jobs Lost

In a significant move for the UK’s hospitality sector, over 2,000 jobs have been saved following the sale of 51 TGI Fridays restaurants to Breal Capital and Calveton, the investors behind D&D London. This deal comes in the wake of Hostmore, the UK parent company of TGI Fridays, falling into administration last month.

Breal Capital and Calveton’s acquisition of a majority of TGI Fridays’ UK sites means the iconic brand will continue to operate on British high streets. However, the rescue deal has not come without consequence, as 36 of the chain’s 87 restaurants will close, resulting in over 1,000 job losses.

Despite the closures, there is cautious optimism surrounding the future of TGI Fridays in the UK. Julie McEwan, Chief Executive of TGI Fridays UK, expressed hope for a brighter future. She stated, “The news today marks the start of a positive future for our business following a very challenging period for the casual dining sector as a whole.” McEwan remains confident that the brand will continue to attract both loyal and new guests.

However, the loss of over 1,000 jobs weighs heavily on the business. McEwan acknowledged the hardship for those affected, noting, “We are devastated for our colleagues who will be leaving TGIs and thank them for their loyalty and contribution during their time with us.” The company is working to support staff impacted by the closures.

The new owners of TGI Fridays, Breal Capital and Calveton, aim to rejuvenate the brand while maintaining its heritage. A spokesperson for the investors commented, “We plan to work with the management team to modernise the business and capitalise on the heritage of this iconic brand.” Their involvement in the hospitality sector is extensive, having previously acquired D&D London and invested in other well-known names such as Byron, Vinoteca, and Black Sheep Brewery.

Although this deal offers hope, the future of some TGI Fridays sites remains uncertain. The new owners are in discussions with landlords in an effort to salvage additional locations. Meanwhile, the Insolvency Service has issued advice to employees and creditors affected by the closures, highlighting the broader impact of the deal on the industry.

TGI Fridays, founded in New York in 1965 and introduced to the UK in Birmingham in 1986, has long been a fixture of the casual dining scene. The next chapter for the brand in the UK will be shaped by how well the business adapts to modern dining trends while staying true to its roots.