Industry Restaurant Headquarters Sydney, Australia Type of business Subsidiary | Website www.pieface.com.au Founded 2003 | |
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Products Coffee, pies and soft drinks | ||
Pie face challenge messy whipped cream in the face game
The Pie Face chain was founded in 2003 in Sydney. It predominantly sells various type of pies and coffee. Following a period of rapid growth in Australia and overseas, the company entered administration in 2014 and the majority of the chain's stores closed. As of 2017 it remained trading, though it had entered receivership the previous year.
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History
Pie Face was established in 2003, and rapidly expanded. After opening a number of stores in Australia, it established stores in New York City during 2012 and New Zealand in late 2013. At its peak the chain had 80 stores in Australia and the United States, and planned to open a further 100 worldwide. Pie Face received $A35 million in funding, including from a number of high profile investors who hoped that it would be eventually listed on the stock market.
In November 2014 Pie Face entered voluntary administration, facing legal action both in Australia and the US. Prior to entering administration it had been considering a stock market listing to be valued at $150 million, and had agreements to establish stores in Asia, Europe, the Middle East and the United States. The firm secured financing in December 2014, enabling it to continue trading. However, its focus was shifted mainly to wholesale and retail sales. Large numbers of stores closed as result, with the loss of hundreds of jobs.
Pie Face went in receivership again in late 2016, and closed eleven company-owned stores. As at 24 November 2016 approximately 26 franchised stores remained open.
In January 2017 it was reported that the chain was nearing profitability, and now had 30 franchised stores and intended to expand overseas again with a focus on Japan and South Korea. However, it continued to have debts of $9 million, including $1 million owed to staff, and was facing a motion to be wound up for unpaid debts. At this time its receivers told the media that unsecured creditors were unlikely to receive any funds, but they believed the business had significant "growth potential, if properly managed" and seven or eight companies were considering purchasing the chain.