Calveton UK and Breal Capital sell TGI Fridays UK franchise business to brand’s global manager: Private equity firms Calveton UK and Breal Capital have sold the TGI Fridays UK franchise business to the brand’s global manager, Sugarloaf TGIF Management. Breal and Calveton, which also own Evolv Collection – formerly D&D London – and London Brasseries, acquired the bulk of TGI Fridays UK out of administration in October last year. The deal, through a new vehicle called the Liberty Bar and Restaurant Group, saw 51 out of the 87 TGI Fridays across the country acquired, while 35 sites were closed. Propel later revealed that Breal and Calveton paid a total consideration of £9.55m for the business, securing more than 2,000 jobs. Sugarloaf, owned by former TGI Fridays chief executive Ray Blanchette, was subsequently chosen to manage all of TGI Friday's franchised restaurants worldwide in January 2025, after the company had filed for bankruptcy protection in the US. A spokesperson speaking on behalf of Breal and Calveton said: “After a prolonged period of due diligence, we are pleased to announce the sale of TGI Fridays UK to Sugarloaf, the manager and custodian of the worldwide brand. During 12 months of our tenure, we have stabilised the team and supply chains as well as completing the first phase of repositioning the brand through a national relaunch on 4 July this year, which has seen improvements in both revenues and covers growth versus run rate. We hand the reins over with positive like-for-like sales growth and festive trading currently a healthy 25% up on bookings versus this time last year. We would like to thank the UK management team and staff for their hard work and efforts over the last 12 months.” In April, Blanchette, having been named as the new chief executive of TGI Fridays, said franchisees “are now in charge of the brand globally”. He said the company had embarked on a brand refresh centred around simplifying its operations and improving unit-level economics, with a franchise-first model. “Our focus now is squarely on building a franchise-friendly model,” Blanchette said. “We’ve lowered the cost to build, improved four-wall economics, and created a much more investable business.” A key component of the strategy was menu simplification, focusing on top-performing items like burgers, ribs, wings and proteins. “This is not the TGI Fridays of old,” Blanchette said. “We’re building something that’s streamlined, relevant, and built for today’s operators. It’s all about getting back to our roots – bold food, a great bar and an energy that sets us apart. We’re ready to grow again, and we’re doing it the right way.” TGI Fridays relaunched in the UK at the start of July with a re-energised menu and guest experience, with 50% of dishes updated and 70% of grill items reworked. Chief executive Julie McEwan said the relaunch marked a pivotal moment in TGI Fridays’ evolution under a leaner, more agile business model. She added: “These moves are about reigniting the spirit of TGI Fridays for today’s guests, with the energy, warmth and theatre that’s made us iconic for 60 years.” McEwan later said that phase two of the company’s reset would focus on the segmentation of its 49-strong estate and the next reiteration of what the brand looks like, and that even before the relaunch, the business has been improving its like-for-like sales quarter on quarter. She said: “In terms of phase two, what we want to be able to do is really focus on the segmentation of our restaurants – into hero bars, party venues and family destinations. So, our site at Wembley will lend itself more to a celebration, experiential, live music-type format, whereas Trafford Centre might be a family destination, and then we might even look at drive-thrus. We want to be back in Central London. It'd be great to go into airports. We are also hoping to have the next reiteration of what TGI Fridays looks like. Part of the phase two plans could also include sports coverage and shuffleboard tables introduced into restaurants.” In August, Propel reported that TGI Fridays’ UK covers were up 10% since its relaunch, compared with year-to-date performance, “fuelled by a renewed focus on value and the repositioning of the grill as the brand’s signature category”. Propel’s inaugural Franchisor Showcase, which will put the spotlight on ten up-and-coming food and beverage franchisors, takes place on Tuesday, 25 November at One Moorgate Place in London. This is a unique chance to explore exciting franchise opportunities. For the full speaker schedule, click here. Free places for operators and investors only are available by emailing kai.kirkman@propelinfo.com.