[Closed] Pizza Express

Exactly what happened to Maplin and Toys R Us.

Not in the case of Toys R Us and arguably not in the case of Maplin. This article covers both:

http://www.coppolacomment.com/2018/03/the-sad-story-of-maplin-electronics.html

In the case of Maplin it puts the blame fair and square on debt imposed by the last two Venture Capitalists but then ends with this:

Computer Weekly argues that Maplin has been unable to respond to the challenge of online sales and has become over-reliant on its stores. So the sad story of Maplin may simply be an old-fashioned tale of over-expansion, loss of core focus and inability to respond to a fast-changing market. Just like Toys R Us.**

I can't see why a sound business would ever stop trading. Even if you load them up with debt to the point where they fold surely the core business comes out the other end of Administration worth more as a going concern than as the sum of its assets.

Thanks for that. According the Metro (not usually a good news source) there’s no imminent danger, and, as you say, the root problem isn’t structural it’s the debt. So it seems certain that nothing will change before 2021/22 and whatever technical stuff happens in the background the brand and restaurants will continue trading after that.

Based on that, from a punters POV nothing to see here.

Yup Thomas Cook for example.

Eh?

You're offering Thomas Cook as a fundamentally sound business loaded up with debt?

How was it sound? People buy holidays online now, not from high street shops.

Or are you making some other point?

La Reine with spinach,

It's a little known fact that those are really good for your eyesight. After I last finished one, I thought "I can see clearly now..."

I thought “I can see clearly now…”

What you did there.

I see it.

Clearly  🙂

Or are you making some other point?

Yes Thomas Cook were loaded up with debt with a failing business model, a few months ago everything was going to be fine nothing to worry about. Now they’ve gone.

PE are loaded with debt they can’t get out of with a business model that isn’t helping, you’re right nothing in common at all.

Assuming you’re not sharing a plate, crikey that’s cheap.

Nope - £9.95 per adult and £5.95 per child so £31.80 for the all you can eat buffet, the drinks and ice creams on top but they don't charge silly prices so it doesn't add up too much.

They will be gone in 6 months time unless they find fresh cash.
Xmas is a busy time for restaurants but not for pizza places.

I do like a nice Sloppy Guiseppe (ooh err etc), but I buy it from Morrison's, not only getting a much bigger pizza than the restaurant version, but getting it for a quarter of what it costs there.

There's nothing special about the Pizza Express restaurant experience that makes it worth the premium. My local one is an echoey barn which is invariably mostly empty when I walk past.

They will be gone in 6 months time unless they find fresh cash.

No they won't:

At the moment the restaurant chain is not in imminent danger because the owners have until 2021 before they need to start paying back over £600 million owed to outside creditors and then until 2022 to pay back £200 million of unsecured debt a year later.

https://metro.co.uk/2019/10/08/owns-pizza-express-face-administration-10880696/?ito=cbshare

...and even then they'll go into administration so AFAICT if they're worth more as going concern than as assets it won't make any difference to punters or staff.

As above seems to be case all round, how is it permitted these days to buy up a company, lend them a load of money at % well above norm, repeat and rinse – isn’t capatilism great

er, because it's "their" company after "they've" bought it?

From what I’ve read Pizza Express itself is largely successful and profitable, the problem here is that the chinese private equity firm that now owns them has saddled them with a metric shit-tonne of debt that they cannot afford to service.

@ retro83 - Can't say I'm surprised there are a lot of runners and riders in that race to the bottom. The pump and dump of the investment world.

RRP and the illusion of a deal. Not the only ones up to that trick either, mmmmm bikes, tyres. How much is really paid for them compared to what you are lead to believe is the norm.

That's business as they say!

sharkbait

Member
(literally two blocks away)

I didn’t know we had blocks in the UK…. how big is that?

OT but I’m 48 and even as a kid used the term block ie just taking dog around the block.
So before American influences.
Could just be a North East thing🤷🏻‍♂️

Yup I’ve used around the block since I was a kid too. Simply means around a group of buildings.

I can remember using the phrase "around the block" when I was 5 (55 years ago) but I don't think we ever defined what a block was or how there could be two of them 😂

Why are we "dropping" money rather than spending it?

Kolkata. As i say it was nice enough, they were friendly, food was good…

I do like them, but not that much...

EDIT referring to the bill...

Utter shit.
Support the independents.

Totally agree.

outofbreath

Member

"Computer Weekly argues that Maplin has been unable to respond to the challenge of online sales and has become over-reliant on its stores"

Could that be something to do with having their profits channeled out of the business so there was next to no reinvestment and development? Why yes, yes it could.

Maplin was making a profit, aside from the "repayments" to their owners.

Thought this blog on chains and Pizza Express might amuse the STW massive. To quote, "It’s okay to appeal to the middle ground; if our political parties applied the same logic as Café Rouge we wouldn’t be on the brink of civil war".
https://meatandoneveg.blog/2019/10/08/in-defence-of-chains/

If you're anywhere near Brum and like food and drink you really need to follow this blog anyway.