Gourmet Burger Kitchen plans to close 17 stores to stay afloat

Gourmet Burger Kitchen (GBK) says it has earmarked 17 restaurants for closure after running up millions of pounds of losses.

The chain, owned by South Africa's Famous Brands, has filed for a Company Voluntary Arrangement - an insolvency process that allows struggling firms to close unprofitable stores.

It warned 250 jobs were at risk under the plan, which still needs approval.

GBK operates about 80 restaurants in the UK and employs 2,000 people.

Earlier this month, Famous Brands said GBK had booked a £47m loss amid tough trading conditions.

Managing director Derrian Nadauld said the chain faced a "challenging casual dining" market and its rental payments were too high.

"We are having to take tough but necessary actions to reduce our fixed cost base and restore long-term profitability," he said.

"This [CVA] will provide greater security for our staff, suppliers, landlords and customers."

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https://www.bbc.co.uk/news/business-45962981