03/01/2024 11:07:00
Investment firm The Breal Group has acquired the assets of Warwickshire-based business Purity Brewing Co for an undisclosed sum, advises Morning Advertiser. The deal, which completed just before Christmas (Friday 22 December), aims to further strengthen Breal's growing investment portfolio. Purity was an acquisition target of Breal's since early 2023 and it anticipates the move will secure the long-term future of the business and is set to retain jobs within the brewery. The acquisition of Purity is the latest in a number of purchases by Breal, which was formed in 2013 by Brent Osborne and Alan McLaren.
Stonegate Pub Company has confirmed a £638m refinancing deal in relation to 1,034 pubs within its circa 4,500-site estate. It has been reported that Apollo Global Management is the lender behind the deal, which recently agreed to purchase The Restaurant Group. The Stonegate portfolio in question comprises 944 leased and tenanted and 90 free-of-tie freehold pubs predominantly located towards the south of England. Pub & Bar reports that the venues generate the majority of their revenue from drink sales, with a mid-market focus and a strong bias towards well-populated, suburban locations. As part of the deal, the portfolio will be acquired by newly incorporated, wholly-owned unrestricted subsidiaries of Stonegate Pub Company called New PubCos. As part of the transaction, Stonegate will enter into agreements with New PubCos on an arm's length basis to provide the portfolio with certain management and procurement services.
Trade body UKHospitality has set out its priorities for 2024 as the country prepares for a general election. Prime minister Rishi Sunak will have to call the next election this year to ensure it takes place before 28 January 2025, five years from the day the current parliament first met. UKHospitality chief executive Kate Nicholls said the group's plan was to focus "with all political parties to ensure hospitality is at the front and centre of policy making", reports The Caterer. "Hospitality businesses will be hoping this year brings some respite from the endless price rises that have plagued the sector over the past 18 months," said Nicholls.
Richard Caring is reportedly considering selling a 'big' stake in the The Ivy Collection in a deal that could see the circa 40-strong business valued at 'around £1bn'. According to Sky News, the restaurant mogul has appointed HSBC - which is a big lender to his companies - to advise on the process. The Ivy Collection business included The Ivy brand and the more recently launched Ivy Asia, advises the Restaurant. The rest of Caring's restaurants - which include Sexy Fish, Scott's, J.Sheekey and Bacchanalia - and private members club are understood to be excluded from the deal Sky News reports. The broadcaster also said that its source had cautioned that "it was not certain that Caring would decide to sell a controlling stake in The Ivy and Ivy Asia concepts."
Consumer card spending increased just 4.1 per cent year-on-year in 2023 - noticeably lower than the growth seen in 2022 (10.6 per cent) - as Brits cut back on new clothes and home improvements amid rising inflation and household bills. However, consumers continued to prioritise moments of joy and shared experiences, boosting travel, entertainment, and pubs & bars, with Brits favouring pubs over restaurants for dining and drinking, with a notable boost from sports events and the King's Coronation, advises Caterer Licensee Hotelier News. New data from Barclays reveals that spending on essential items grew 3.9 per cent in 2023 compared to 6.3 per cent last year. This reduced increase was largely due to a -10.7 per cent drop in fuel spend, stemming from the decline in pump prices this year after they peaked following Russia's invasion of Ukraine in early 2022.
Manchester-based brewer JW Lees has reported record turnover for the year to 31 March 2023 with revenue at £88m (up £13m (16%) on the previous year). Although profits were down by 56% to £3.5m, the company cited a number of reasons including the cost of energy, significantly reduced Government support and increased levels of investment in the business, advises Morning Advertiser. JW Lees chose to invest heavily in its 134-strong estate during the year, spending £8.9m on refurbishing its properties, including 23 schemes of more that £50,000 and major investments in excess of £500,000 on multiple properties.
JD Wetherspoon founder and chairman Tim Martin is among a number of people from the hospitality sector who have been recognised in the King's 2024 New Year Honours list, reports the Morning Advertiser.