Pubs group gets set to offload 400 pub estate
The UK's largest owner and operator of pubs is preparing for a potential sale of its commercial property portfolio, in a deal which could be worth more than Â£400m.
Ei Group - formerly known as Enterprise Inns - said it had received indications of “considerable interest” from potential buyers for the estate of more than 400 pubs.
The company is considering a disposal of all or part of the portfolio, which brings in annual rents of £29m.
Analysts at Peel Hunt said a sale could attract real estate investment buyers and fetch around £400m. It comes as its managed division shows strong like-for-like sales growth of 7.1 per cent in the year to the end of September.
The company has been focusing on expanding the number of pubs it manages by converting leased and tenanted sites. It now has 308 after adding 80 over the past year since the expansion programme began in 2014.