HUGE INTEREST BREWING FOR COLLAPSED COFFEE CHAIN

Rivals like Caffe Nero and Costa Coffee are believed to be interested in taking over some of the 10 stores closed by administrators last week.

Industry insiders believe the ten remaining company-owned outlets being sold as a going concern will be picked up by the former management team, headed by Steve Bartlett.

The speed of the sale process points to a so-called “pre-pack administration” where unprofitable stores are dumped and profitable ones retained in a new entity, often by pre-existing management. Bartlett was not available for comment.

KPMG partner Richard Hill, who is leading the sale process, said there had been “huge interest” and expected to complete by Friday. Caffe Nero and Costa Coffee would not comment.

KPMG closed 10 unprofitable stores last week leaving 66 of its 187 Coffee Republic staff without jobs.

Trade will continue as normal in the remaining 70 franchised Coffee Republic stores, as well as in 97 concessions in cinemas, shops and hotel.

Coffee Republic founder, Bobby Hashemi, is reportedly not interested in the business he founded in 1995 before quitting in 2006.