Management Due Diligence specialists, The Quinn Partnership, has advised Palatine Private Equity as they back the management buyout of restaurant chain GUSTO from Living Ventures Group.

The business employs more than 400 staff and recorded group sales of £65m in the year to March 2014 – a 36 per cent increase on the previous year.

The Living Ventures Group was founded in 1999 by Manchester’s famous restaurant entrepreneurs Tim Bacon and Jeremy Roberts, who are behind some of the city’s well-known brands including Blackhouse, Australasia, Artisan, The Oast House and The Alchemist.

Knutsford-based GUSTO has nine sites, including Alderley Edge, Cheadle Hulme, Liverpool and Newcastle.

Both Bacon and Roberts have invested in the new GUSTO business and will stay on as non-executive directors. Managing Director, Sue Crimes and Operations Director, Tony Griffin will join the board, with Palatine’s Managing Partner, Gary Tipper and Investment Director, Beth Houghton completing the team.

With Palatine’s support, GUSTO is set to continue its growth and already has plans to launch a new flagship restaurant in Manchester City Centre. Further restaurants will be opened across the UK focusing on city centre and affluent suburban locations.

Sue Crimes, Managing Director of GUSTO commented:

“This is a very exciting time for myself and the GUSTO team. I am delighted that a partnership with Palatine has been formed and that together we will grow GUSTO into a larger national business. GUSTO is already a successful brand but I believe this deal will see it become a recognised brand throughout the country.”

Gary Tipper, Managing Partner at Palatine said:

“We’ve been talking to the Living Ventures team for a number of years and we are delighted to be supporting them in this expansion of GUSTO. The GUSTO team have done an excellent job to date and we look forward to introducing the brand to other parts of the UK.”

Tim Bacon, Non-Executive Chairman of GUSTO also said:

“It will be great to see what has been a very successful brand in the North West finally get its wings and fly. Jeremy and I are very excited to be working with Sue, Gary and the team to take GUSTO to a national audience.”

Mike Stiles, Director at The Quinn Partnership comments:

“Sue and the team have both the experience and passion to extend their compelling proposition across the UK. Supported by the additional expertise of Palatine Private Equity, this already successful brand will no doubt deliver a fruitful return on investment.”

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