Former Paddy Power boss Andy McCue to replace ousted CEO
Published 12/08/2016 | 08:23
Restaurant Group, the struggling owner of the Frankie & Benny's and Chiquito chains, has ousted its chief executive, replacing him with a former boss of bookmaker Paddy Power.
The firm said on Friday that Danny Breithaupt, CEO for the last two years, had left the company and would be succeeded by Andy McCue on September 19.
"The board has completed the initial phase of the operating strategy review, and has decided that a new leader is needed to implement the initial actions and then prioritise the next phase of the review," Restaurant Group said.
The firm's shares have slumped 45pc this year as it battles increased competition from food-led pubs and branded restaurant chains and a drop in visitors to retail shopping parks, where many of its outlets are located. It warned on profit in April.
The stock closed Thursday at 377p, valuing the business at £761m.
McCue was Paddy Power's CEO until its recent merger with Betfair and is a former executive at OC&C Strategy Consultants.
Restaurant Group said Chairman Debbie Hewitt would take a more active role in the business between now and when McCue joins.
It said it was continuing to trade in line with previous guidance and would provide an update on the operating strategy review with its interim results on August 26.