Wednesday 6 November 2019 4:28 pm

Luke Johnson hires bankers for Gail’s Bakery sale

Serial entrepreneur Luke Johnson has reportedly appointed bankers to explore a sale of Gail’s Bakery.

Johnson has appointed bankers at Nomura to oversee the sale of Gail’s parent company Bread Holdings, Sky News reported.

A sale process is expected to be launched in the next few months with a price tag of £150m, the report said.

Read more: Luke Johnson will see his reputation recover from Patisserie Valerie’s fraud scandal

Gail’s opened its first branch in Hampstead in 2005 and it now has 50 bakeries in and around London.

Johnson has had a tough year following the discovery of a multi-million pound black hole in the accounts of cake-chain Patisserie Valerie where he was executive chairman.

The business crashed into administration in February despite Johnson’s provision of £10m in emergency funding.

Read more: Luke Johnson faces fresh troubles as Brighton Pier shares sink on falling profits

The Serious Fraud Office has launched a probe into the chain and the audit watchdog is investigating its auditor Grant Thornton.

Johnson has previously backed chains such as Pizza Express, Strada and Giraffe.

Last month another company he is an investor in, Elegant Hotels, agreed to a £101m takeover by Marriott International.

Nomura and Gail’s declined to comment.