16th Apr, 2021

Druckers cafe in Coventry among closures following cake chain collapse

Catherine Thompson 24th Jan, 2019 Updated: 24th Jan, 2019

DRUCKERS in Coventry has closed its doors for the final time.

The city centre cafe is among the 70 outlets, owned by Hall Green-based Patisserie Holdings plc, forced to close after the company announced it had gone into administration on Tuesday, January 22.

The move has resulted in some 920 redundancies.

Administrator KPMG is searching for a buyer for some 130 remaining outlets.

The business said its chairman Luke Johnson had personally extended an unsecured, interest-free loan to help ensure January wages were paid to all staff working in the ongoing business.

In a statement the company said: “This Loan will also assist the administrators in trading as many profitable stores as possible while a sale process is undertaken.”

In October the company’s finance director Chris Marsh was suspended from his role, after the the cafe chain discovered “significant and potentially fraudulent” accounting irregularities.

An investigation is under way by the Serious Fraud Office

Blair Nimmo, head of restructuring at KPMG and joint administrator, said: “Our intention is to continue trading across the profitable stores, as collectively, the brands have a strong presence on the high street and have proven very popular with consumers.

“At the same time, we will be seeking a buyer for the business and are hopeful of a good level of interest.

“Unfortunately, however, we have had to take the difficult decision to close 70 stores resulting in a significant number of redundancies. We will be working with those affected employees, providing all support and assistance they need.”

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