Pubs are "back on investor' radars" as fears over debt and, deregulation and property subside, according to a City analyst.
In a note on the sector yesterday from Merrill Lynch, analyst Lena Thakkar said: "A recovery could come faster than anticipated with an economic upturn, boost from the World Cup and improved cost outlook."
And she said that talk of a rights issue at Enterprise Inns was "unlikely", with the company being able to refinance its loans by the end of the year.
She also indicated that the company could start paying dividends again in 2011 - sooner than expected.
The news saw shares in Enterprise rise 5.9p yesterday to 127.3p. Meanwhile Marston's rose 4.5 to 90.4p, Greene King increased 9.3p to 448.1p and Punch climbed up 2.9p to 87.3p, according to the Daily Telegraph.
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