Restaurant group Tragus is set to sell its 56 Strada restaurants for around £40m as the group, which also owns the Bella Italia and Café Rouge brands, undergoes a restructuring.
The move, reported by the Times, comes after control of the company passed from Blackstone to Apollo Global Management.
Tragus, which has 292 outlets, has also initiated company voluntary arrangements (CVAs) for 51 of its Bella Italia and Café Rouge sites with the aim of exiting 30-40 uneconomic leases, according to the report.
Apollo, which now co-owns the business with Oak Hill Capital Partners, Deutsche Bank and York Capital Management, will use a debt-for-equity swap to cut Tragus's borrowings from £354m to £91m.
The new owners are reported to be committed to a £110m investment in its two core brands over four years, opening 50 restaurants under the two brands over the next four years.