Revolution outlines ‘cautious’ reopening

Ahead of the hospitality sector’s reopening later this week, Revolution Bars has confirmed its intention to reopen six of its bars on 6 July, and keep them open for a “minimum” period of two weeks. The “cautious” recommencement of trading forms part of the group’s plan to “fully test” customer demand and sentiment and refine its 'Covid-secure' operating standards ahead of the full opening of its estate. The bar operator said it currently expects to continue reopening in weekly tranches of up to nine bars, and aims to have opened 62 out of 74 bars by the end of August 2020. The group said its remaining bars may not reopen until the government permits late night venues to begin trading once again. Revolution said that the safe return of its employees was of the “utmost importance”. In light of this, it has conducted a return to work survey, with respondents encouraged to leave additional comments on their concerns regarding their return to work. According to the group, the majority of concerns cited were already covered in its Covid-Secure operational guidelines. In addition, 84% of respondents said they intend to return to work and are “happy to do so” subject to the provision of appropriate safety measures. In its latest update, the group said it expects its net bank debt at the end of its current financial year (27 June) to be £22m. With £37.5m bank debt facilities now in place, and £15m in gross fundraising proceeds set to be received on 27 July, Revolution said it has a “significant amount” of cash liquidity and a “strengthened” balance sheet to “overcome the anticipated challenging trading conditions in the foreseeable future”. Rob Pitcher, CEO, said: “I am delighted that the Company has received overwhelming support from its shareholders for the proposed Fundraising and move to AIM. "I also enthusiastically welcome the UK Government's decision to allow bars to reopen from the 4 July 2020.” He added: “Given the all-day nature of our business, we will proceed cautiously, initially reopening only six of our bars to ensure that we can operate safely and viably. “We hope that the learnings from this first tranche of bar reopenings will enable us to quickly progress the reopening of the remainder of our estate, which we expect to have substantially completed by the end of August."