Lincoln Chimichanga restaurant under threat of closure

Lincoln’s Tex-Mex Chimichanga restaurant is under threat of closure according to reports from Sky News.

Restaurant chain Prezzo, who also own Chimichanga, is reported to have plans to close up to one-third of its 300 outlets across Britain, which will put hundreds of jobs at risk.

If plans, revealed by an insider at the brand, go ahead it could involve the complete closure of chain Chimichanga, meaning Lincoln’s much-loved Brayford Wharf restaurant would shut down.

It’s unclear at this stage which other Prezzo-owned brands would be affected.

Prezzo did not comment or deny the plans when contacted by Lincolnshire Business.

Prezzo, which is owned by private equity firm TPG capital, is said to be preparing to launch a Company Voluntary Agreement (CVA) in the coming days.

Several hundred jobs could be lost if plans go ahead.

AlixPartners is the advisory firm understood to be overseeing the CVA.

It is reported that TPG and Prezzo’s management have faced worsening performance and a large number of unprofitable restaurants.