Hartford full of Beans after £5.8m takeover

London bar operator Hartford plans to roll out Henry J Beans, the American-themed bar and grill chain, after buying it for £5.8m. The acquisition comprises £3.6m cash for the equity, together with repayment of £2.2m debt.

Beans has sites in Bristol, Birmingham and Manchester as well as Chelsea and Camden in London the site in King's Road is rumoured to take around £70,000 a week.

It also has 17 franchised outlets in Europe, South America and the Far East that produce around £250,000 a year in royalty income. Food sales represent around 25% of turnover.

In the financial year to 27 March 2005, Henry J Beans Group delivered turnover of £5.8m, generating £1.3m of site EBITDA and £600,000 of overall operating profit.

Douglas Smillie, managing director of Henry J Beans, will be staying with the enlarged company.

Hartford chief executive James Kowszun said: 'We plan to integrate the business first and then start looking for new sites in January. He added that every town with a university or cathedral south of Birmingham would be on the target list.

News of the acquisition came as Hartford revealed sales were 3.7% up on last year, despite the impact of the terrorist attacks on 7 and 21 July. This under-lying growth was achieved with gross margins staying strong.

Steve Thomas, chairman of Hartford, said: 'We have a proven City-based concept in Jamies. This acquisition creates an exciting new market opportunity and adds another strong branded concept to our existing portfolio.

'It will be immediately earnings enhancing and is financed by a new debt facility.

'Henry J Beans has stood the test of time in a changing marketplace and has significant expansion potential.