Buyer sought for Popolo bar group
Administrators have been appointed to the business behind Popolo Bar Lounge & Kitchen in Nottingham. A buyer is now being sought for the business.
Andrew Haslam and Gerald Krasner, of Begbies Traynor, were appointed as joint administrators of several companies within the Principle Leisure Group on 1 April.
The North East group operates the Popolo-branded bars in Nottingham, Sheffield and Newcastle, along with a number of additional outlets.
Begbies said it encountered cash flow difficulties due to the opening and refurbishment of several new outlets and the general downturn in the licensed sector, resulting in tax arrears being accrued.
It added the company’s management structure was weakened by the illness and passing of Joseph Peel, director of Principle Leisure.
Haslam said: “Following the receipt of demands from HM Revenue & Customs, the directors attempted to negotiate payment terms, but unfortunate, they were unsuccessful. In order to ensure that the group was protected and the opportunity provided to place the group on the market, the directors took steps to seek the protection of an administration order.”
He added: “The outlets are now being operated under licence whilst a purchaser is sought. The process undertaken will, at least in the short term, protect the contracts of over 300 employees and offer the group the best opportunity to identify a purchaser.”
