Pizza Express may return to stock market

Pizza Express appeared closer to a stock market return today after a report said the restaurant chain’s owner had begun a search for advisers.

Private equity owner TDR Capital, which acquired the business for £278m (€407.1m) in partnership with Capricorn Ventures in June 2003, is thought to be looking to appoint bankers to review strategic options for the business.

TDR is said to have interviewed five investment banks in the past few days with a decision on which adviser to appoint due in the next few weeks. A flotation is thought to be the most likely of its strategic options.

The Sunday Times said the autumn was seen as the most probable date for a stock market return, adding that Pizza Express as likely to have a value of between £800m (€1.2m) and £1bn (€1.5bn), including the group’s debt.

Pizza Express has more than 280 outlets in the UK and was recently said to be delivering double-digit percentage increases in like-for-like sales.

It acquired the 180-strong chain of Ask restaurants in 2004, enabling TDR and Capricorn to enhance its purchasing power and strip out costs.

The move to consider its options is likely to reflect the fact that Pizza Express has met its business plan earlier than expected.