M&B in Punch up February 6th, 2008
Mitchells & Butler has been approached by Punch Taverns, one of the UK’s largest pub operators. M&B is the owner of pub chains All Bar One, O’Neills and Harvester, formats which are seen as very 90’s and ones that have proved less appealing in recent times. Add to this M&B’s recent announcement of a ’strategic review’, indicating that it is looking for a suitor and a £274m hedging loss, and it was only a matter of time before an acquisitor came knocking.
Investors has become increasingly frustrated with M&B’s underperformance and would welcome a speedy resolution to any takeover. The combined group would be a major player in the sector with an estimated value of £3.7bn.
