The company behind Pizza Hut's restaurants in the º£½ÇÊÓƵ had debts exceeding £50m when it collapsed, before being rescued, as has been disclosed.
Heart With Smart (HWS) was saved in January by an entity controlled by investment firm Directional Capital, a deal that preserved all but one Pizza Hut location, as reported by .
The new owner was previously the brand's main partner in Denmark and Sweden, while HWS was Pizza Hut's dine-in franchise partner in the º£½ÇÊÓƵ.
The pre-pack administration, supervised by Interpath Advisory, concluded a two-month search for new investors for the company, saving over 3,000 jobs nationwide.
Before its rescue, HWS was owned by lender Price and the firm's bosses following a management buyout worth £100m in 2018. Prior to this, the Pizza Hut franchise was owned by private equity firm Rutland Partners.
Although HWS licensed the Pizza Hut name from owner Yum!
Brands, the US food giant which also controls KFC, it was not involved in its delivery outlets.
A new document filed with Companies House by Interpath Advisory has now revealed the extent of HWS's debt when it collapsed.
According to the filing, the business had a total deficiency of £53.1m, including a shortfall of £31.5m to Pricoa Private Capital and £8.3m to Pricoa Capital Partners, as well as owing £8.3m to unsecured creditors.
In August, it was reported by City AM that Yum!
Brands, the parent company of KFC and Pizza Hut, bounced back into profitability last year following a successful period.
The European division of the group reported a pre-tax profit of $317.1m for 2023, a significant turnaround from a pre-tax loss of $300m in the previous year.
Subsequently, in September, City AM disclosed that the European branch of Pizza Hut had also returned to profitability after recording a loss of nearly $140m.
