Avoca chief executive Simon Pratt has confirmed that the company has entered exclusive negotiations with a potential buyer. 

He could not reveal who these talks are with – but US catering giant Aramark has been tipped to buy the Irish company.

Speaking to the Irish Independent, Mr Pratt said: "I can confirm that we are in an exclusive period of negotiation with a potential purchaser but would not like to comment further."

It was reported that senior members of the Aramark management team received a tour of Avoca premises in May.

Avoca operates 10 outlets in the Republic of Ireland and one in Belfast - the company has previously said that it expects its profits to amount to more than €3.3m in the current financial year.

It returned pre-tax profits of €1.54m last year, this figure was weighed down by investments of €1.5m in developing the business.

Last year's accounts showed that the firm had tangible fixed assets worth over €31m.

The company was started by Simon's father, Donald Pratt in the 1970s - the chief executive revealed last year that the business would not be run by the next generation of the family.