Mitchells & Butlers – the owners of All Bar One, Toby Carvery and Harvester – has warned that the pandemic is costing the chain £35m a month.
The business had a cash balance of just £113m as of January 16 as all facilities remain closed amid the current coronavirus restrictions. This also comes amid a looming deadline to repay £51m debt interest payments by March 15.
The company announced the formal launch of a £351m fundraising exercise to prop up its balance sheet, calling it “critical for the continued operation of the group and its immediate financial stability”.
M&B has also agreed with pension trustees to delay monthly contributions from January to March. They will resume from April.