Rescue plan for fast food chain Exki

Belgian fast food chain Exki has announced an agreement with its shareholders that will hopefully prevent the company from going under.

The agreement involves a €15 million capital increase, RTBF reports, which is expected to allow the healthy-food-themed chain to relaunch itself and achieve long-term profitability again.

Once considered a flagship of the Belgian economy, Exki has struggled financially in recent years as a result of significant changes in consumer habits.

The brand was launched in 1999 by three friends in Brussels who were fed up with having only average-quality sandwich shops in their neighbourhood at lunchtime.

They aimed to offer a fast, healthy alternative to fast food at the same price, targeting office workers and finding success in Belgium, France, Italy and New York. But with the pandemic prompting an increase in remote working, it has seen its client base shrink.

That the fast food sector has become both healthier and hyper-competitive in the last 25 years also contributed to the company’s woes.

In light of grim financial forecasts, the chain recruited a new chief executive last spring, admitted that it was on the verge of bankruptcy as a result of mounting debt, and drafted a plan of action that centred around securing new funds quickly.

Having reached the €15 million agreement with shareholders, Exki now plans to reorganise and refocus on its "core business", namely restaurants in city centres, railway stations and airports.

A major recovery plan is also on the table and aims to preserve the remaining 77 locations.