Partly Cloudy

Partly Cloudy

max temp: 24°C

min temp: 16°C

Search

Bury St Edmunds: Greene King reported to be in talks with May Capital over sale of 300 pubs

10:50 12 March 2014

The Greene King brewery in Bury St Edmunds.

The Greene King brewery in Bury St Edmunds.

Archant

Pubs and brewing group Greene King today declined to comment on a report that it is in talks over the sale of around 300 pubs to a private equity firm.

Talks between the Bury St Edmunds-based company and May Capital, founded last year by Noah Bulkin, a former merchant banker at Merrill Lynch and Lazard, are said to have reached an advanced stage but now to be “hanging by a thread”.

The story in The Times also links May Capital with the potential purchase of around 50 pubs from R&L Properties, the pub estate of entrepreneur Robert Tchenguiz, although these talks are thought to have broken down.

According to The Times, the Greene King deal could be worth around £85million, although it adds that Greene King chief executive Rooney Anand is “known to drive a hard bargain”.

It also cautions that Greene King is thought to have held advanced talks in relation to the pubs with two other potential purchasers named as private investment firm Cerberus Capital Management, which owns Admiral Taverns, and the Pears property family without a deal being agreed.

A spokesman for Greene King said today: “As always, we don’t comment on speculation.”

At the time of its half-year results in December, Greene King owned a total of 2,226 pubs, restaurants and hotels, including 1,008 within its directly-managed retail division, which includes brands such as Hungry Horse, Old English Inns, Eating Inn and Loch Fyne, and 1,218 under tenancy, lease or franchise agreements within its Pub Partners business.

It is in the fourth year of a five-year plan to build profits by increasing its focus on food-driven pubs, under which it aims to expand its retail portfolio from 888 sites four years ago to 1,100 by 2015, while also improving the quality of the Pub Partners estate by selling sites no longer considered to have a sustainable long-term future.

During the first half, covering the 24 weeks to October 13, it acquiring 14 pubs and exchanged contracts on a further six sites for development while disposing of 59 non-core sites and transferring 11 from tenancy to retail. A further 25 Pub Partners properties were closed and awaiting dispoal at the end of the period.

Related articles

1 comment

  • Greene King selling off their pubs. More "Tesco extra" stores in the pipeline ?

    Report this comment

    The original Victor Meldrew

    Wednesday, March 12, 2014

Police are appealing for witnesses

Suffolk Police are searching for a woman who has gone missing from Ipswich.

Fire crews called to eastbound A14

Motorists face queues on the A14 this afternoon after a vehicle fire brought traffic to a halt near Ipswich.

The Red Arrows were able to complete a shortened display at the Clacton Airshow.

For almost everyone it was the perfect summer day on the beach – blue skies immediately above, temperatures in the high 20s, warm sea water.

Tim Odgers on a recent trip to York Minster

Tributes have been paid to an “inspirational” former Stowmarket Middle School head teacher who has died of an aggressive blood cancer.

Duncan Goodhew at Swimathon 90 at Mid Suffolk Leisure Stowmarket in January 1990.

Shell suits, Fun-Fax organisers and yo-yos – all stuff you can look back fondly on if you grew up in the 90s.

File picture of Suffolk Fire and Rescue Service fire engines.

Fire crews have been called to help a young pony that has become trapped in a ditch in Palgrave, on the Suffolk and Norfolk border.

Ben Gummer arrives in Downing Street.

In the fourth of five three-minute interviews, Ipswich MP Ben Gummer explains what his new job as Minister for the Cabinet entails.

Students at Stoke High School - Ormiston Academy celebrating their GCSE results this morning.

The outstanding GCSE results achieved by Ipswich schools this year are a promising step in the right direction, the town’s MP has said.

GCSE results day at Kesgrave High School. Jonathan Durston celebrates his results.

It is a very special day for Kesgrave star student and head boy Jonathan Durston - who discovered he had achieved 12 A*s and one A in his GCSEs this morning.

The unveiling of Major Henry Wigglesworth in Ipswich.

Today Major Henry Wigglesworth is back where he belongs after a lengthy stay in hospital.

Most read

Most commented

HOT JOBS

Show Job Lists

Topic pages

Streetlife

Newsletter Sign Up

MyDate24 MyPhotos24