Overall ranking: 23 (30)
Restaurateurs ranking: 8 (6)
Des Gunewardena - Snapshot
Des Gunewardena became chairman and chief executive of Conran Restaurants (which is to be renamed) in September 2006 after leading a management buy-out of 49% of the group from Conran Holdings, which retains a 51% stake. The Bank of Scotland backed the deal, which valued the group at £50m.
The acquisition included Conran Holding’s 25% stake in the Bank Restaurant Group, where Gunewardena is a non-executive director.
Gunewardena has relinquished his role as chief executive of Conran Holdings, (the holding company for Sir Terence Conran’s retail and restaurant empire) but remains on the board as deputy chairman.
Conran Restaurants operates an eclectic collection of more than 20 individual restaurants offering a spread of cuisines from British, European, French, Italian, and Spanish to Cuban and Japanese. Most are London-based but the portfolio includes two venues in Edinburgh, Alcazar in Paris and Guastavinos in New York. London-based Orrery has held a Michelin star since 2000.
Des Gunewardena - Career guide
Sri Lanken-born Gunewarden qualified as a chartered accountant with Ernst & Young in 1981.
In the mid-1980s, he was responsible for financial planning at Heron International, a £1b group of companies with property, trading and financial interests in Europe and the USA. He then held a number of directorships at Heron operating companies.
Gunewardena started working with Conran in June 1991 and became chief executive of Conran Restaurants in 1995 and chairman and chief executive of the restructured group in September 2006.
Des Gunewardena - What we think
Gunewardena has been Conran’s right-hand man since 1991 and has played a key role in building up the Conran restaurant, shop and design empire that has influenced the way we eat, dress and decorate our homes.
He helped Conran Holdings evolve from a business with just 100 staff and a single London restaurant and store into one with nearly 2,000 staff, 20-plus restaurants and seven Conran Shops in London, New York, Paris and Japan. In the year to March 2006, the restaurants achieved sales of £56.3m and boosted Ebitda from £5.2m to £6m.
Conran occupied himself with the design and detail of new restaurants and will continue this involvement through his design and architectural practice, Conran Partners.
Gunewardena provided the business perspective and was responsible for the financial and operational aspects–from finding the right location for new openings to overseeing purchasing, sales and marketing and human resources.
Conran’s current restaurant empire began with the opening of Bibendum in 1987. This and other early openings, offering cheaper, more accessible dining-out opportunities without compromising on quality – thrived in the midst of recession and helped establish London’s reputation as a gastronomic centre. The gastrodomes at Butlers Wharf and Mezzo (which could seat 750 at a time) were among the biggest seen in Europe at the time.
The 2006 management buy-out followed the repayment of a £20m founding loan to Sir Terence Conran leaves the new group debt free. Now 40 key directors, managers and head chefs have a direct stake in the group on top of existing profit share arrangements with individuals.
The Bank of Scotland has pledged £10m to fund expansion and six new restaurants will come on stream in the next 12 months. They include three at a waterfront development in Copenhagen, a major restaurant in London’s Royal Festival Hall, and the two of 10 planned European-style restaurants in Tokyo in concert with the Hiramatsu restaurant group.
Gunewardena also plans to develop hotels in London following the success of its joint venture in the Great Eastern hotel where it operated four restaurants and three bars from 2000. The group made £33.2m from the sale of its stake to Hyatt this February.
Conran Restaurants opened the way for operators to claim back millions of pounds from HM Revenue & Customs this year when it successfully challenged the practice of charging national insurance on tronc money used to top up salaries to the national minimum.
Gunewardena holds non-executive directorships in London First and VisitLondon and is a member of the London Business School’s Enterprise 100.
Des Gunewardena – Further information
Conran Restaurants profile on CatererSearch
Conran Restaurants official websites
Bank Restaurants official website
Zinc Bar and Grill and Etain official website
Read more about the CatererSearch 100, the list of the most influential people here