Hostmore PLC will be the name of the parent company for Electra Private Equity’s demerged hospitalit
Electra Private Equity PLC (LON:ELTA) revealed that Hostmore PLC will be the name of the new parent company for Electra’s hospitality brands, including American-themed restaurant chain TGI Fridays, when they demerge later this year.
Hostmore will also contain the start-up, 63rd+1st, a new city-based, cocktail-led bar and restaurant brand, when it floats on the main market of the London Stock Exchange towards the end of the third quarter of this year.
The new listed company will continue to be led by Robert Cook as chief executive and Alan Clark as chief financial officer.
At Electra’s interim results in May, the company announced plans to spin out its hospitality brands and Hotter Shoes. It said today that progress towards listing both businesses are in-line with the board’s expectations and provided an update on trading.
In the four weeks since re-opening for dine-in customers on May 17, TGI Fridays stores recorded like-for-like growth of 12.5% compared to the equivalent period in pre-COVID 2019. The growth does not include the contribution from new stores including the first 63rd+1st store, which is trading in line with management expectations following its opening on May 24, Electra said.
On a like-for-like basis, Hotter’s direct channels recorded sales up 15% in the month. Including the contribution from retained retail stores, Hotter’s overall sales in May grew 38% versus May 2020. The margin impact of Hotter’s new strategy and business model are also reflected in a 7 percentage point improvement in year-on-year gross margin for the first four months of Hotter’s trading year from February 2021.
Electra plans to list Hotter Shoes, the UK’s largest shoe manufacturer, on London’s Alternative Investment Market.