C&C Group to buy Admiral Taverns from Cerberus
A joint venture (JV) comprising Global alcoholic drinks manufacturer C&C Group, Proprium Capital Partners, and Admiral Taverns Management has agreed to acquire UK-based pub company Admiral Taverns (Admiral) from Cerberus Capital Management (Cerberus) and its affiliates.
For this acquisition, C&C Group has agreed to offer £37m, which represents 47% of the issued capital of Admiral. The remaining equity will be provided by Proprium Capital Partners and Admiral Taverns Management.
Closing of the transaction is subject to financial conduct authority (FCA) approval, which is expected to be completed by November this year.
C&C Group CEO Stephen Glancey said: “The local pub remains at the heart of many suburban and city communities, often the hub of local activity and their economic and social contribution is immeasurable.
“C&C has a long and successful track record of supplying and providing financial support to local pubs within the independent free-trade in Scotland and Ireland.
“In the UK, the tenanted pub model is a key component of the pub industry. When well invested, and with the right operator and product range, it can provide excellent sustainable returns to all participants.
“Admiral Taverns Management has a proven track record in balancing these returns with the needs of their tenants and consumers. Today’s new arrangements will enhance choice for both tenants and consumers and provide a platform for further growth at Admiral.”
Admiral owns and operates an estate of 845 wet-led pubs in England and Wales.
C&C anticipates that the acquisition will deliver significant economic and route-to-market benefit to its business in Great Britain through collaboration with the experienced and skilled management team as well as by accessing 845 pubs through a procurement and supply agreement.