Based in Exchange Flags in Liverpool, Fazenda was part of the group of restaurants hit badly by the COVID-19 pandemic – and now a rescue deal has been agreed. Tony McDonough reports
Liverpool’s popular Fazenda restaurant is to remain open in a rescue deal following the collapse of its parent company.
Bars and restaurants have had a torrid time during the COVID-19 pandemic with multiple lockdowns keeping their doors closed for long periods. Even those times when they were allowed to open the COVID restrictions cut footfall significantly.
City District Limited, which trades as the Fazenda Rodizio Bar & Grill alongside sister brand Picanha by Fazenda, was placed into administration on Monday due to money owed to landlords and HMRC which the company was unable to pay.
On Tuesday morning it was announced by joint administrators Julian Pitts and Bob Maxwell of Begbies Traynor, that the business and assets of City District Limited have been acquired by Southern Wind Group Limited, in a pre-pack deal saving 243 jobs.
It means Liverpool, Leeds, Manchester and Edinburgh Fazenda sites will continue to trade, saving 243 jobs. However, Fazenda Birmingham and Picanha Chester are not included in the deal and 69 staff will be made redundant. The Liverpool restaurant is located in Exchange Flags behind the Town Hall.
Founded in 2010, the Huddersfield-based company operated six South American gaucho-style grilling and Rodizio dining restaurants under the Fazenda and Picanha brands. They became well known for the concept of continuous tableside service of grilled meats with the use of a double-sided card to control the flow of meats to the customer.
Joint administrator Julian Pitts said: “After more than 10 years of healthy trading, the Fazenda restaurant chain became yet another casualty of the impact of the pandemic on the hospitality sector.
“With the UK undergoing multiple lockdowns, together with social distancing measures and increased working from home, the restaurant trade has faced one of its toughest periods ever.
“It is good news for employees, customers and suppliers that most of the popular Fazenda eateries will re-open for business once the current restrictions are lifted. We wish them well for the future.”
Chief executive of Southern Wind Group, Terence Langley, added, “The pandemic has meant that we have had to regroup and review to navigate the current climate as best we can and put the business in good stead in order to come back strong.
The acquisition also includes the recently launched e-commerce arm of the business ‘Fazenda at Home’, joining many others in the ‘make-away’ market, where customers can continue to purchase quality meats and buy prepare-at-home meal kits.
Southern Wind Group says it will honour any gift vouchers previously issued by the Fazenda and Picanha restaurants.