January, 2011
Global Leisure Partners Advises on the Recapitalisation of Caffè Nero

LONDON (January 2011): Global Leisure Partners LLP (“GLP”) is delighted to announce that it has acted as financial advisor to Caffè Nero Group Ltd  (“Caffè Nero”), the largest independent coffee retailer in the UK, on its successful recapitalisation.

This recapitalisation secures Caffè Nero‘s long-term goal of continued growth by putting in place long-term credit facilities, which allow Caffè Nero the flexibility it needs to meet its long-term growth objectives. 

As of May 2010, Caffè Nero had 410 stores throughout the UK that generated over £150 million and £28.7 million of revenues and EBITDA, respectively.  Currently, Caffè Nero has nearly 500 stores and plans to open 50 new stores in the UK this year and another 40 venues overseas, doubling its international presence.  The company has been ranked the UK’s number one coffee retailer for the past eight years based on Allegra’s report of consumer preferences. 

In 2010, Caffè Nero began to seek to refinance its existing £140 million of debt by putting in place new credit facilities that would help secure its future growth plans.  GLP assisted Caffè Nero in finding the right partners to support the business and advised the company during its negotiations.  The recapitalisation of Caffè Nero represents the fifth successful advisory transaction for GLP since the start of 2010.

Gerry Ford, the Chairman and CEO of Caffè Nero Group Ltd, commented:

"Last week we announced the successful recapitalisation of Caffè Nero Group. As we undertake our continued plans for UK and International expansion we are thankful to be partnered with institutions that understand and support our vision."

Mervyn Metcalf, GLP Managing Director, commented:

"We are pleased to have advised Caffè Nero on its successful recapitalisation.  This transaction highlights Global Leisure Partners’ expertise in finding the right value added partners for our clients and confirms that financing continues to exist for quality businesses.  We feel this a great example of the responsiveness and reliability that GLP strives to bring to its clients each day."

Contact: