Blacks Solicitors oversees Fazenda deal
Leeds-based law firm Blacks Solicitors LLP has overseen and helped coordinate the internal restructuring of ownership in Fazenda Rodizio Bar and Grill for investment vehicle LLB Investments Limited.
City District, which owns and operates the restaurant chain and brand, chose Blacks due to an existing relationship, and the Firm’s extensive experience of advising on shareholder acquisitions and management buyouts.
City District and Blacks worked closely with HSBC UK and KPMG who provided funding support and corporate finance advice respectively.
Dave Paterson, the Corporate Law Partner at Blacks who led the team throughout the deal, said: “It has been fantastic to work with Terence and the team at City District to achieve a management buyout which paves the way for City District to grow and strengthen the Fazenda brand, enabling further growth in new cities.
“A positive news story in this sector is somewhat of an anomaly at the moment; however there is still confidence in restaurant businesses with the right proposition and we look forward to working with City District on the next chapter of the Fazenda journey.”
Terence Langley, Commercial Director at City District Limited, commented: “This deal will enable us to secure future growth and strengthen the already excellent Fazenda brand. I am really grateful to Dave and the rest of the team at Blacks for their help in overseeing and completing the acquisition, and the backing of HSBC to facilitate a restructure with key management personnel.
“I hope that this will be a platform for Fazenda to continue to outperform the market, demonstrating that a strong brand and concept can still thrive and buck the trend of struggling restaurant chains.”
Scott Wood, Corporate Director for North & West Yorkshire, HSBC UK added: “It should come as no surprise to see Fazenda performing so well within a highly competitive sector. The restaurant group has brought a unique dining experience to cities across the UK, engaging with its audience and winning fans along the way. This MBO signals an exciting new chapter for the business, and we wish them every success for the future.”
Jonathan Turner, Tax Director at KMPG, who provided tax advice to the corporate group and shareholders said: “It was a pleasure to support the shareholders and corporate group on tax related matters through the transaction and to be involved with such a successful local business. The deal leaves the group and shareholders well positioned for the next phase of its growth”.