Permira is to sell 120 of its 235 restaurants and will rename about 115 of the ones that it is keeping, according to the Sunday Times. The move comes after attempts to revitalise sales at the chain have not paid off.
It is believed that fast-food rivals such as McDonald's could be interested in acquiring Little Chef's sites, but that it is unlikely any company would want to retain the brand.
Last year, Little Chef looked at the possibility of slimming down its famous tubby, smiling mascot, but dropped the plan after the move was greeted with dismay by the chain's customers.
Although it has tried to keep up with the times by introducing healthier options in its menus, but it has failed to shake off its old-fashioned image.
According to the Sunday Times, one insider has said: "The only people who visit Little Chef are the elderly, the young and people who want to use the lavatories."
The first Little Chef opened in Reading in 1958. Famously, the chain was named by former Prime Minister John Major as his favourite restaurant.
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