Nando's UK set to complete sales negotiations with rival firm
Restaurant chain buys Clapham House Group for £30m
The UK arm of restaurant chain Nando's is set to complete sales negotiations with rival firm Clapham House Group.
Nando's has agreed to buy Clapham House, which owns high-street outlets Gourmet Burger Kitchen (GBK) and The Real Greek, for £30.4 million.
The 74p-a-share offer represents an eight per cent premium on the value of Clapham House's stock on Thursday's close.
Nando's claimed restaurants have been particularly hit by the financial crisis and it would use it expertise to revive the flagging firm.
It said in a statement: "Against an increasingly competitive market, [Nando's] believes significant investment and time are needed to reinvigorate Clapham House's businesses."
Earlier this year, Clapham House made £2.2 million from a shares issue and posted a 50 per cent rise in pre-tax profits for the first half of 2010. Nando's stated that further funding was needed to expand the chain.
There are currently over 230 Nando's restaurants in the UK and Ireland while there are 53 GBK branches.