FishWorks, the AIM-listed restaurant operator, said yesterday that Mitch Tonks, the former fishmonger who founded the company in 1994, will step down from the board with immediate effect.

The embattled chain said that his departure was “a natural progression” given Mr Tonks's increasing focus on independent projects and his media career, although he would retain an “ambassadorial role” with FishWorks.

His exit is the latest in a number of management changes at the company. Mr Tonks reliquished the role of chief executive last year to Paul Goodale, previously the chief operating officer, while Ratnesh Bagdai, the finance director, resigned.

Mr Goodale said there was no question of any falling-out with Mr Tonks. “We remain very good friends,” he said.

Asked whether Mr Tonks would receive a payoff, he replied: “His payoff will be the 5 per cent stake he has in the business.”

The company said it had returned the lease of its loss-making Notting Hill site to the landlord and planned to pull out of two other properties in London.

However, the company was looking at new premises in the capital. It recently opened its 12th restaurant in Piccadilly.

In April, the struggling chain said that its pre-tax loss for the six months to January 31 widened to £2.6 million from just over £700,000 a year ago.

The company was rescued in February last year when Gary Ashworth, the recruitment entrepreneur who is now FishWorks's chairman, and Luke Johnson, the Channel 4 chairman, bought a combined 33 per cent stake as part of a £2.5 million fundraising at 6p a share. Their holding has since been diluted to 22.2 per cent.

Mr Goodale said that like-for-like sales remained in positive territory.

The shares fell by ¼p to 5p.

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