Three parties are reportedly in discussions over confidentiality agreements that will determine if they can launch joint bids for embattled pub operator Mitchells & Butlers.
According to today’s Financial Times, the O’Neills and All Bar One operator sent confidentially agreements to the three likely bidders last week in a bid to begin a formal auction process.
The three suitors are understood to be Punch Taverns as well as private equity giants CVC Capital Partners (former owners of Punch’s managed pubs division Spirit) and Blackstone Group – owners of Hilton Hotels.
Punch approached M&B earlier this month with a merger proposal that would create a pub giant with turnover of £3.7b. The deal followed M&B's £274m loss on hedging arrangements.
Read the full report in the FT here >>
Merger of Punch and M&B set for go-ahead >>
Board at Mitchells & Butlers under fire after £274m loss >>
By Christopher Walton
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