Published:
Chilango may shut restaurants amidst restructuring: report
The restructuring agreement would allow Chilango to address cash-flow woes.
Chilango might “propose exiting several restaurant leases” ahead of the launch of its company voluntary agreement, City A.M reported.
According to the report, the launch of the restructuring agreement might come “ahead of a crunch meeting with shareholders next week.”
Earlier, the burrito chain had postponed its annual general meeting a day before its scheduled meeting.
The talks of restructuring with RSM came about the chain’s earnings from its mini bond scheme. The Financial Conduct Authority, meanwhile, has banned the marketing of similar bonds, though Chilango’s “burrito bonds” were excluded as it had directly financed the company.
Read full report here.
