The Real Greek sold out of administration in pre-pack deal saving majority of sites

The Real Greek, a UK casual dining chain specialising in Mediterranean cuisine, has been sold out of administration in a pre-pack transaction that preserves a majority of its estate while shuttering underperforming sites, following mounting cost pressures across the hospitality sector. Administrators from Alvarez & Marsal completed the sale to Karali Group shortly after their appointment, securing continuity for a substantial portion of the business.

The transaction sees 19 of the group’s 28 restaurants transferred to Karali, with the remaining nine sites closing as part of the restructuring. The deal preserves approximately 358 roles, while resulting in around 151 redundancies, reflecting a targeted rationalisation of the estate focused on loss-making locations. The group’s central production kitchen is also understood to be among the operations discontinued.

The Real Greek operated under Fulham Shore, which had been acquired in 2023 by Toridoll with backing from private equity. The brand, founded in 1999, built a national footprint with a concentration of sites in London alongside regional locations across England and Scotland.

The administration follows a strategic review of the business amid sustained financial underperformance. The Real Greek had reported operating losses in its most recent accounts, reflecting a combination of declining margins and elevated cost pressures. Industry-wide challenges, including food and energy inflation, rising labour costs linked to increases in the minimum wage, and higher occupancy expenses, have weighed heavily on casual dining operators, particularly those with mid-market positioning.

Those pressures have also impacted The Real Greek sister brand Franco Manca, which continues to undergo its own restructuring through a company voluntary arrangement.