The first Oceana to change will be Bristol’s, which is re-opening at the beginning of September after a £1million investment. The remaining clubs will rebrand as they undergo major refurbishments.
Luminar has also returned to profit after the business was acquired 18 months ago by a management team led by chief executive Peter Marks. For the 52 weeks to February 23, it reported pre-tax profits of £1.3million.
Marks said: “The Pryzm name reflects the multi-characteristics of the new format that features three distinct clubs, an exclusive VIP area plus a chic and stylish bar called Myu all under one roof.
“Oceana has been a successful brand for 11 years, but fashions and trends evolve and the time has come to create a new, high-quality clubbing experience and we need a name that reflects those changes.
“When we unveil Pryzm Bristol in September for the first time, customers will be really impressed with the cutting-edge design, layout, technology and entertainment that the club will be providing. We are confident that Pryzm will appeal to a wider audience looking for a great night out.”
The Luminar Group was formed in January 2012 in a £45million deal led by Marks with Alex Geffert and Joe Heanen, saving the business which had gone into administration in October 2011.
The company, which operates 53 clubs across the country, has improved profits and earnings after 12 months of consolidation and investment to arrest decline and develop a clear plan to rebuild the business.
Chief financial officer Russell Margerrison said: “We have delivered strong financial progress, paid down our final deferred consideration payment ahead of schedule and are now in a position to continue to invest in our estate and our people to build a profitable future.”
The programme will see 60 per cent of the estate invested in by the end of the group’s financial year in 2014 with the rest to be completed within another 12 months.
Luminar has already invested £2.4million in refurbishing venues in York, Edinburgh, Crawley, Aberdeen and Eastbourne and acquiring the lease on Casino nightclub in Guildford. A further £1.6million was spent on minor refurbishments, equipment upgrades and other improvements elsewhere in the estate.
Margerrison added: “When we acquired the business, one of our key priorities was to refurbish the estate which had been under-invested for many years and the quality of the experience fell way below what our customers expected.
“We now have a robust plan in place that will touch the majority of the estate by the end of our next financial year, together with a longer-term view of re-investing to keep our brands and venues up to date.”
Current trading since the end of the last financial year remains in line with expectations, with the refurbishment programme delivering returns on investment of over 50 per cent.
The company has signed a new supply contract with drinks supplier Matthew Clark and is investing heavily in developing its social media activity.
However, the group anticipates that the late-night sector will continue to face a number of challenges with additional tuition fees for students and high unemployment impacting people aged 18 to 24.
“This is a really solid performance which demonstrates that there is still positive upside in the UK nightclub market for professional and well-funded operators,” Margerrison added. “We have worked hard to transform the business and, whilst we’ve made solid progress, there is still a lot more to do.”