Jon Adgemis’ embattled Public Hospitality Group has lost one of the jewels in its crown, with powerhouse Greek restaurant Alpha no longer in its portfolio.

The hatted Sydney CBD restaurant, owned by the Hellenic Club, has been under Public’s control since last December, when it won a tender to operate it, later announcing it had hired celebrity chef George Calombaris to take over the kitchen.

The future of the restaurant in Public’s hands has been the centre of discussions for several months over the contract between Public and the Hellenic Club, talks that continued last weekend. Staff were informed on Monday morning that Public is out of the upmarket Castlereagh Street eatery.

Staff at the luxe restaurant – many of whom worked at Alpha before Public took over – were briefed on Monday morning by a new operator, Con Dedes, the experienced operator behind a fleet of successful Sydney restaurants, including Flying Fish and Sala in Pyrmont.

Dedes, who is believed to have been the runner-up in last year’s tender for the restaurant, confirmed he had taken over from Public as of Monday, June 17, and provided Good Food with a statement.

“On behalf of (my wife) Kerrie, myself and the team at Dedes Group, we are honoured to be adding Alpha restaurant and Beta Events to our suite of hospitality venues. We thank the Hellenic Club for their trust and it is certainly not lost on me that we inherit an asset with wonderful Greek heritage, humility and, as the Hellenes say, filotimo [love of honour and duty]. Our team will work hard to uphold this beautiful legacy,” Dedes said.

Alpha had been steered by chef Peter Conistis since its 2013 opening. But in March, Public announced a change in culinary direction, bringing in former MasterChef judge George Calombaris as a creative partner. Asked whether Calombaris would stay on at Alpha, Dedes said: “There’s certainly a conversation to be had.”

Public, founded by Adgemis in 2021, has amassed an empire of more than 12 pubs, bars and restaurants, enlisting high-profile Melbourne chefs Karen Martini (at Saint George in St Kilda) and Guy Grossi (Puttanesca at The Clifton Hotel in Kew), and opening Ricos Tacos at The Norfolk Hotel in Redfern.

But Public became weighed down by debt and Adgemis has spent months hunting for a refinancing deal. After a failed refinancing attempt and alleged tax raids, the group recently secured a $400 million lifeline.

Adgemis, a former KPMG dealmaker, struck a refinancing plan with a consortium led by Deutsche Bank.

In a statement on Monday, Hellenic Club confirmed it had mutually agreed with Public Hospitality Group that Public would depart as the operators of the Alpha & Beta businesses.

“Public Hospitality had advised us that their new financing is focused on company-owned real estate, and we agreed they would depart as operators of Alpha and support the transition to the incoming experienced operator, which they are currently doing,” said Hellenic Club president Nikolas Hatzistergos.

The transition from Public Hospitality to the new operators, led by Con Dedes, has begun and will continue over the coming weeks.

“We have enjoyed our partnership with the Hellenic Club over the last six months and wish them every success with the next chapter of Alpha,” said a Public Hospitality spokesperson.

“George Calombaris, who joined our Alpha team as a culinary consultant in March, is also supporting the operational team through this transition.”