Lion Capital acquires majority stake in café-bar chain Loungers
Bristol-based chain that's set to open its 100th store in April 2017 valued at £137m after transaction
Loungers, the Bristol-based café-bar chain, has been valued at £137m after Lion Capital acquired a majority stake in the business through the acquisition of Piper LLP’s stake and a portion of the founders stake.
Founded in 2002 by friends Alex Reilly, Jake Bishop and Dave Reid, Loungers is a chain of informal, all-day, neighbourhood café-bars comprised of two brands: Lounges and Cosy Clubs.
When Piper invested in 2012 the company operated 20 lounges and three Cosy Clubs in the UK – today, Loungers owns 94 sites across the country and employs nearly 2,000 people.
Reilly will stay on as chairman of the group, while Nick Collins will continue as CEO, Justin Carter as chief operating officer and Jake Bishop as managing director of Cosy Club.
The group is aiming to open its 100th site by April 2017, with a further 20 planned for the following year.
Reilly commented: “It has been a real pleasure and a lot of fun sharing Loungers with Piper, who exit with the business in a truly excellent place.
“From these strong foundations we look forward to the next phase of growth with Lion Capital, who share our excitement and passion about the future and have the experience to help us continue fulfilling our potential.”
James Cocker, partner at Lion Capital, said: “We have admired Loungers for several years as one of the most distinctive and scalable foodservice propositions in the UK.
“[…] We are tremendously excited to partner with them for the next phase of the company’s development.”