Greene King PLC has declared an agreement to purchase four pub restaurants. The Company will buy these pubs from Punch Taverns PLC for GBP5.3 million. This deal has brought the consideration to 23 pubs of Punch Taverns within a year. The deal between Punch Tavern and Greene King is worth £51.6 million.
The deal is unreserved for now and is expected to be finalized on July 8. It would be financed from the funds of Company rights issue. The deal would be made all in cash.
Greene King, Britain's fourth-largest pub company, has plans to expand by making new acquisitions after reporting a rise of 3 per cent in half-year profits.
Greene King disclosed yesterday plan to acquire seven pubs in Scotland from Mitchells & Butlers in a deal worth £12.7 million.
Earlier in July, Greene King had acquired 11 pubs from Punch Taverns for £30.4 million. Now, the company is in talks to acquire more assets.