Revolution Bars Group plc (AIM:RBG) is plotting the closure of a quarter of its venues as it holds talks with investors about an emergency fundraising and puts itself up for sale. Sky News has learnt that Revolution, which owns Peach Pubs and the Revolucion de Cuba chain, is drawing up plans to axe roughly 20 of its worst-performing bars. It has also been sounding out investors in recent days about a cash call to raise approximately £10 million - more than the company's current market capitalisation.

One investor approached about the prospective share sale said it appeared to be dependent upon the successful implementation of a restructuring plan to close sites. Without those taking place, the survival of the company would be in doubt with insolvency the only likely alternative, they added. A significant number of jobs will be put at risk by the closures, which are expected to be concentrated on the Revolution-branded chain.

It was previously owned by the private equity investor Alchemy Partners. It was unclear on March 25, 2024 how many redundancies would arise from the restructuring, if it takes place, but one leisure industry source said it would be "in the hundreds". Cavendish, the investment bank, is understood to be working on the capital-raising.

An accelerated sale process to flush out interest from potential buyers of the company is also set to be launched in the coming days. Prospective buyers could include the pubs behemoth Stonegate, which owns the Slug & Lettuce and Be At One chains, or financial turnaround investors. Shares in Revolution Bars closed unchanged on March 25, 2024 at just 2.9 pence.

A Revolution spokesman declined to comment on 25 March 2024 evening.