Luke Johnson, via his Venice Bidder bid vehicle, has decided against increasing his offer for PizzaExpress.

In an announcement on 9 May, Venice cited last month's disappointing trading statement by PizzaExpress as the reason for its decision. This had revealed like for like sales in the restaurant chain's core operation dropping from -5.1 per cent in the second quarter to -9.4 in the third and its Café Pasta/Marzano operation moving from growth into decline for the first time.

It further referred to the intense competition the company had encountered, plus well documented economic and political factors, which were having an adverse effect on trading.As a result, the board of Venice has decided not to increase its 367p per share bid for the PizzaExpress and the offer will lapse. It has also announced its intention of accepting the offer by Capricorn Ventures/TDR Capital of 387p per share for its holding of approximately 8.5 per cent in PizzaExpress.