REVOLUTION BARS is undergoing talks to sell off around a quarter of its venues, Sky News' Mark Kleinman first reported.

The London-listed hospitality group, which employs 2,500 people across the UK, has drawn up plans to axe roughly 20 of its underperforming bars.

The group has also reportedly approached investors in a cash call to raise £10m, which is more than its market capitalisation of less than £7m.

In January, Revolution said it would close eight bars as young people scale back on nights out amid cost pressures.

Investors close to the matter have said that without selling off more bars, the group would face insolvency as the only alternative.

Shares in Revolution Bars have cratered 57 per cent over the last year.

The news comes as yet another blow for the struggling hospitality industry.

At the start of the year Rekom UK, the country's biggest nightclub owner, called in the administrators. While just last weekend, Whitbread announced plans to sell about a third of its underperforming restaurants and pubs.

A Revolution Bars Group spokesman declined to comment to City A.M.

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