Hospitality group, the Keystone Group, has been placed in receivership, with Morgan Kelly and Ryan Eagle of Ferrier Hodgson appointed Receivers and Managers.
The venues included in the appointment include Bungalow 8, Cargo Bar, the Jamie’s Italian restaurants, Chophouse (Sydney and Perth), Gazebo, Kingsleys (Brisbane, Woolloomooloo), Manly Wine, Sugarmill Hotel, The Rook and The Winery.
A statement issued by Ferrier Hodgson said the receivership is the result of the company’s inability to “reach an agreement with the board on key aspects of the Keystone Group’s financial structure.”
The venues will continue to operate as usual while the Receivers assess each venue in preparation for a sales campaign.
“Given the current buoyant hospitality market we anticipate a lot of interest in the sale of the venues,” said Receiver, Morgan Kelly.
“The venues in the Keystone Group comprise some of the most iconic and well-known brands in their respective markets.
“The sale of the group represents a unique opportunity for the right operator and is particularly suited to hospitality specialists interested in expansion.
“The sale process is expected to commence shortly,” Kelly said.
As a first step, the Receivers will review all of the operations and identify what, if any, changes will be required prior to commencing the sales campaign. It is likely that the sale process will offer the option of the sale of the entire group or on an individual asset basis.
Kelly said employees will continue to be employed on the same terms and conditions as prior to the appointment of the Receivers.
“For employees, venue operations and customers, it is business as usual as we undertake the sale process,” Kelly said.
In February this year, the company sold the Newtown Hotel to Colonial Leisure Group and in March it placed Cargo Bar, also in Sydney, on the market.
