Bar company Burning Night, which owns Bierkeller Entertainment Complexes around the UK, was placed into the hands of joint administrators Andrew Mackenzie and Julian Pitts of Begbies Traynor in Leeds on 28 September 2018.
With its head office in Leeds, Burning Night was established eight years ago and grew to comprise six themed bars and restaurants.
The administration follows the closure of the company’s Cardiff venue at Millennium Stadium which proved to be financially unviable and had a negative impact on the group’s costs.
However, the administrators stressed that the other five Bierkeller Entertainment Complexes in Leeds, Liverpool, Manchester, Birmingham and Nottingham, all of which had experienced growth over the last financial year, will continue to trade as usual, with further growth expected over the next 12 months.
Employing more than 500 staff nationwide and with an annual revenue in excess of £25m in 2017/2018, Bierkellers make up a large part of the operational business of the Burning Night Group.
Joint administrator Andrew Mackenzie said: “It is important to stress that the companies which own the Bierkeller leases are not in administration and we are working closely with management and lenders to continue to trade these prime assets to their full. We are currently seeking a buyer for the venues in order to bring about the best outcome for the company’s creditors, staff and customers.”
Andrew Mackenzie and Julian Pitts have also been appointed as joint administrators of Cornertrack Limited, a wholly owned subsidiary of Burning Night, which supplied beer to the venues.