Troubled bar firm Revolution has secured High Court approval for a restructuring plan which will result in the closure of a number of venues.
The business - which has a Revolution Bar on Belmont Street in Aberdeen, plus a Revolucion de Cuba in The Academy - is retaining all of its Aberdeen and Glasgow venues, but has decided to close bars in Inverness and Edinburgh.
The business has been struggling to recover from the pandemic and argued that restructuring was needed to save it from collapsing into insolvent administration.
Revolution Bars Limited, part of a group owning the Revolucion de Cuba and Peach Pubs brands, is “heavily loss-making” and “deeply unprofitable”, the High Court court was told.
Lawyers for the business said it was reliant on funding from the group “in order to survive” but it was forecast to “run out of cash” in August.
At a hearing in London on Thursday, Mr Justice Richards approved the plan, concluding it was “not unfair” to creditors, landlords and shareholders.
Addressing shareholders this morning, Revolution said the closures will save the business almost £4million a year.
Rob Pitcher, CEO of Revolution Bars Group said: "We are very pleased that the court has sanctioned the restructuring plan for Revolution Bars Limited. The group is now well diversified across the key brands, providing a more secure financial base and we look forward to the future with improved optimism.
"We know this has been a very difficult period for all of our teams both in our sites and in our support office and I'd like to thank them for their support and resilience.
"I would also like to thank the group's wider stakeholders for their support, including our secured lender, current shareholders, our new and existing shareholders who have participated in the fundraising and all our advisors who have assisted us in the development of the plan"
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