London-based pub company Fuller, Smith & Turner has agreed to buy 15 freehold tenanted pubs from rival Enterprise Inns.
Fuller's is paying £22.9m in cash for the pubs, which generated operating profits of £1.7m in the year to 30 September 2011. The transaction will enhance Fuller's earnings immediately upon completion, which is expected to take place by the end of March.
The acquisition will extend the company's reach into areas of the west and south east of England where it has previously been under-represented, while increasing its presence in core trading areas such as Hampshire.
"This deal will take the total number of pubs acquired by Fuller's in the last 12 months to 29, giving the business tremendous momentum as we head towards the summer of 2012," said Fuller's group managing director Simon Emeny.
Chairman Michael Turner added: "These pubs are carefully selected quality assets and their acquisition is wholly consistent with our long term strategy. We look forward to welcoming these pubs, their licensees and staff to the Fuller's estate."
By Kerstin Kühn
E-mail your comments to Kerstin Kühn here.
If you have something to say on this story or anything else join the debate at Table Talk - Caterer's new networking forum. Go to www.catererandhotelkeeper.com/tabletalk
Looking for a new job? Find your next job here with Catererandhotelkeeper.com jobs