Globe Pub Company, the struggling pub group owned by Robert Tchenguiz, is facing an uncertain future after defaulting on a £257m asset-backed loan, the Financial Times reports.
The default comes after the company failed to remedy a breach of its banking covenants last month. As a result, bondholders can now seek the appointment of an administrative receiver to run the business.
The 400 strong Globe estate is managed on Tchenguiz’s behalf by Scottish & Newcastle’s Pub Enterprise division.
Trading has dropped off sharply of late to the extent that group earnings before tax, depreciation and amortisation for the three months to the end of February stood at just £4.1m – 35% down on the previous year.