Caffè Nero, the high-street coffee chain, has acquired three London sites from struggling café business Harris + Hoole.
The three sites at Barnet, North Finchley and London Wall are currently being refitted and are due to reopen as Caffè Nero outlets by the end of the month.
According to British Baker’s sister title M&C Allegra Foodservice, Caffè Nero could look to acquire further sites from Harris + Hoole as the Tesco-backed company looks to make strategic disposals.
It is understood that Tesco will acquire the outstanding stake in Harris + Hoole from co-founders the Tolley family by the end of the year. It will then begin an exit process in the run-up to the end of next year. Before then, however, it is expected to put more sites up for sale, the majority of which are either in or close to Tesco stores.
Harris + Hoole has required extensive funding from Tesco in order to remain solvent, including a £6m cash injection for the period to the end of 2016-17 and the writing off of a £48m loan.