A popular chain of restaurants owned by South Africa’s logistics company Famous Brands is facing enormous downsizing.
Gourmet Burger Kitchen (GBK) which is a chain of 80 restaurants in the United Kingdom (UK), has plans to close approximately a quarter of its outlets due to huge losses that it has incurred.
It is the most recent restaurant to announce store closures in the UK this year. Various restaurants have closed down due to steep competition and low consumer confidence.
South African-owned GBK has filed for a company voluntary arrangement which starts an insolvency process while allowing firms to close unprofitable stores. GBK has targeted to close 17 of its 80 restaurants, putting 250 jobs at risk.
Earlier this month, Famous Brands revealed GBK had booked a £47m loss for the year.
