El Mexicana chain bought out of administration
Interpath Advisory were appointed administrators to six entities within the parent company Elmex Group on 2 March
The Mexican restaurant brand, El Mexicana, has been bought out of administration by Cholco Consulting Limited, securing 92 jobs across its portfolio of restaurants.
The brand, which was founded by John Coverley, who was previously head of convenience at Sainsbury’s and the creator of the Nosh coffee shop brand in 2011, is a grab-and-go operator of sites across UK transport hubs and shopping centres.
Interpath Advisory were appointed administrators to six entities within the parent company Elmex Group on 2 March.
At the time of appointment, the parent company held the leases for 10 sites under the El Mexicana and sister Don Churro brand, as well as the company’s head office and kitchen in Stevenage.
The business and assets were immediately sold to Cholco Consulting, which lists Coverley as a director.
Tim Bateson, director at Interpath Advisory, said: “In common with other casual dining operators, El Mexicana has recently had to contend with sharply rising costs, as well as challenging trading conditions in the wake of the pandemic.
“We’re therefore pleased to have been able to conclude this transaction, which safeguards the future of the brand, as well as a significant number of jobs.”
John Coverley and Paul Stagg, directors at Cholco Consulting Limited, added: “We are confident that the business will now be driven forward with renewed impetus, generating improved sales and profitability in what remains a challenging climate.”