Greene King agrees £70m bid for Capital Pubs

Published 19th Jul 2011

Greene King, the pubs and brewery group, has made an agreed £70m, 235p-a-share cash offer for smaller rival Capital Pub Company.

It trumps a £54m, 200p-a-share offer from rival Fuller, Smith & Turner last month and represents a premium of over 50pc to the price of the shares prior to the Fuller's offer which Capital Pubs rejected as undervaluing the business.
Previous

Greene King said in a statement on Tuesday the acquisition will enable it to "create an even stronger pub retailer within the attractive and growing premium eating and drinking out market in London".

Rooney Anand, the Greene King chief executive, said: "Capital Pubs would bring a further 34 premium pub assets and take our Greater London estate to approximately 250 at a time when London is outperforming the national pub market."

He said the Capital Pubs' estate fits well within the Greene King portfolio and he intended to combine it with its recently acquired Realpubs business to generate "attractive cost and revenue synergies".

Greene King said the acquisition would be earnings enhancing in the first year of trading.

Source: ' Telegraph '

View All Latest News