Britain’s Restaurant Group , the struggling owner of the Frankie & Benny’s and Chiquito chains, has ousted its chief executive, replacing him with a former boss of Paddy Power.
The firm said on Friday that Danny Breithaupt, chief executive for the past two years, had left the company and would be succeeded by Andy McCue on September 19th.
“The board has completed the initial phase of the operating strategy review, and has decided that a new leader is needed to implement the initial actions and then prioritise the next phase of the review,” Restaurant Group said.
The firm’s shares have slumped 45 per cent this year as it battles increased competition from food-led pubs and branded restaurant chains and a drop in visitors to retail shopping parks, where many of its outlets are located. It warned on profit in April.
The stock closed Thursday at £3.77, valuing the business at £761 million.
Mr McCue was Paddy Power’s chief executive until its recent merger with Betfair and is a former executive at OC&C Strategy Consultants.
Restaurant Group said chairman Debbie Hewitt would take a more active role in the business between now and when Mr McCue joins.
It said it was continuing to trade in line with previous guidance and would provide an update on the operating strategy review with its interim results on August 26th.
- (Reuters)
