Prezzo is set to close up to 100 of its restaurants

Italian restaurant chain Prezzo will close up to 100 of its 300 branches across the country, according to an announcement made earlier today.

By The Newsroom

Published 28th Feb 2018, 12:03 BST

Updated 28th Feb 2018, 13:04 BST

Prezzo is set to close 100 of its restaurants across the country

It has been reported that the Prezzo-owned Tex-Mex chain Chimichanga (with more than 30 outlets) will close down entirely.

Hundreds of jobs could be at risk as a result of the closures.

Prezzo has two restaurants in the Portsmouth area - in Port Solent and at Whiteley Shopping Centre.

The news comes on the same day as high street brands Toys R Us and Maplin fell into administration.

Prezzo (owned by the private equity firm TPG Capital) is said to be preparing to launch a Company Voluntary Arrangement (CVA) in the coming days.

A CVA allows a company with debt or insolvency problems to reach a voluntary agreement with its business creditors regarding repayment of all or part of its corporate debts over an agreed period of time.

In this case, Prezzo could enter negotiations with landlords to secure rent reductions at many of their remaining restaurants.