Loungers

Loungers plc operates as a prominent player in the United Kingdom's hospitality sector through its two distinct but complementary brands: Lounge and Cosy Club. The company was founded in 2002 by Alex Reilley, Jake Bishop, and Dave Reid, who opened the first Lounge in the Bristol suburb of Bedminster. The founders' vision was to create a versatile, neighbourhood-focused café-bar that offered a welcoming space for a diverse clientele throughout the day and into the evening. This initial concept, born from the founders' own desire for a local, informal, and high-quality establishment, has remained central to the company's expansion strategy. The business model revolves around an all-day dining format, serving everything from coffee and breakfast to dinner and cocktails, which broadens its appeal and maximizes revenue opportunities from morning until late.

The estate is divided into the "Lounge" brand, which are neighbourhood café-bars typically situated in secondary high street locations across suburban areas and market towns, and the "Cosy Club" brand, which are larger bar-restaurants often found in city centres and major town locations, frequently occupying unique and historic buildings. This dual-brand approach allows the company to penetrate different types of locations and demographic markets effectively. Loungers' target market is broad, encompassing families, professionals, and students, creating a 'home from home' atmosphere. The company's revenue is generated directly from the sale of food and beverages across its numerous sites. A significant milestone in the company's history was its initial public offering (IPO) on the AIM market of the London Stock Exchange in April 2019, which provided capital for further expansion. As of early 2024, the group operates over 250 sites across England and Wales, demonstrating a consistent and successful rollout of its format.

The core offering is a casual dining experience characterized by a varied and eclectic menu that caters to a wide range of tastes, including extensive gluten-free, vegan, and kids' options. The décor of each venue is intentionally quirky and individualized, with a retro-inspired, comfortable interior featuring a collection of art, mismatched furniture, and statement lighting, ensuring no two sites are identical. This distinctiveness is a key selling point, differentiating Loungers from more standardized chain restaurants. The business has shown resilience and a strong growth trajectory, consistently opening new sites and reporting robust financial performance, positioning itself as a significant and expanding operator in the UK's competitive casual dining market.

Keywords: casual dining, hospitality, restaurant group, café-bar, all-day dining, UK market, Lounge brand, Cosy Club brand, neighbourhood eatery, AIM-listed