Cabana secures future with management buyout

The future of the Cabana Latin American restaurant brand has been secured after a management buyout of the business, which saved 72 staff jobs.

Chief executive Ed Standring completed the deal via a new investment platform, Cherry Equity Partners, which is backed by an international family office.

Cabana is set to continue trading at its existing three sites in Covent Garden, Westfield Stratford and at the 02 Arena, as well as via its Saudi franchise business.

The group has been working with its advisers to explore investment options to support its ongoing operations and expansion plans.

The sale process, managed by Interpath, attracted interest from a range of potential buyers.

Interpath said the deal secured the future of the business and put it on a “sustainable financial platform” for future growth.

Standring said: “We are delighted to have completed the acquisition of the Cabana business and are confident that this new investment will enable us to focus on growing the brand and unlocking its full potential.

“This is the first acquisition by our new Cherry Equity Partners investment platform and, whilst the year ahead is going to be tough for the sector, we do see it as a time to grow.”

Interpath’s Ravi Patel, who advised on the transaction, said: “We are pleased to have guided Cabana through what has been a challenging period for operators right across the hospitality sector. This deal secures jobs, continuity, and puts in place a solid foundation for future growth under new ownership.”