Sydney pub mogul Jon Adgemis has paid $400,000 to creditors as part of a deal to settle debts from his former hospitality empire, Public Hospitality Group, which fell into administration late last year.
This payment, the first of two instalments, is part of an agreement that will see Adgemis contribute a total of $1 million in cash, plus $6.7 million in the form of a convertible note.
According to The Australian, the remaining $600,000 is set to be handed over in the coming months.
As part of his recovery plan, Adgemis is focused on the completion of several significant renovations, including the 19-room boutique hotel, The Flinders in Darlinghurst, and the Exchange in Balmain.
Additionally, he is looking to sell off some of his Melbourne venues, including the Saint, Vine, and Clifton hotels, in favour of concentrating on his Sydney properties.
Meanwhile, several of Adgemis’ former venues have been taken over by new operator Linchpin, led by industry veteran Terry Soukoulis.
Linchpin is now managing venues such as the Empire Hotel in Annandale, the Clifton Hotel, and the Lady Hampshire Hotel. The group also plans to reopen the Bayswater Sydney Hotel and Noah’s Backpackers in Bondi.
Soukoulis emphasised that Linchpin is distinct from Adgemis’ former operation and is focused on building a separate identity.
Source: The Australian.
