Tuesday 17 January 2017 4:51 pm

Patisserie Valerie owner nears takeover of upmarket chain founded by Raymond Blanc

The owner of Patisserie Valerie is nearing a deal to take over an upmarket bakery chain founded by celebrity chef Raymond Blanc.

City A.M. understands Patisserie Holdings came out on top in a competitive bidding process for 13 Maison Blanc sites and has agreed terms for a deal, with the final details being ironed out.

Kout Food Group, which also owns Little Chef, instructed property agent Davis Coffer Lyons to sell Maison Blanc’s stores in September.

There has been uncertainty around the future of the group and its 300 employees in recent months and it is believed the sites would be used for existing Patisserie Holdings brands.

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The patisserie group, which has stores in Hampstead, Muswell Hill and St John’s Wood, was founded by Blanc in 1981, though he is no longer involved in the business.

In 2015, Maison Blanc reported revenues of £8.5m, down from £10.4m in 2014, and a pre-tax loss on ordinary activities of £3.5m, down from a loss of £3m.

Patisserie Holdings currently has 180 stores in the UK, operating under five different brands: Patisserie Valerie, Druckers – Vienna Patisserie, Philpotts, Baker & Spice and Flour Power City. The first Patisserie Valerie was opened on Frith Street in London’s Soho in 1926.

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Patisserie Holdings has been listed on the Alternative Investment Market (Aim) since 2014 and is currently seeking opportunities to expand.

Risk Capital Partners has owned Patisserie Holdings since 2006, when the company had eight sites in Central London.

Patisserie Holdings and Kout Food Group have been asked for comment.