InterContinental and Whitbread plan Britvic flotation

InterContinental Hotels Group (IHG), Whitbread and Pernod Ricard plan to float soft drink supplier Britvic on the London stock market before Christmas.

The move is expected to value Britvic at about £800m, including more than £200m-worth of debt.

IHG, which holds a majority 47.5% stake in Britvic, reached agreement with the other shareholders last year to float the soft drinks business between January 2005 and December 2008.

Whitbread and Pernod Ricard, who each hold a 23.5% stake, will sell their interests but PepsiCo will retain its 5% share.

IHG gained its holding in Britvic when it demerged from Six Continents (formerly Bass) in 2003. The group wants to concentrate on managing and franchising hotels. It hopes to complete the flotation shortly after its extraordinary general meeting on 7 December.

Bob Ivell, chairman of Regent Inns, will be a non-executive director of the newly-floated company.

By Angela Frewin

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