Pubmaster celebrates after beating off hostile bid

Wolverhampton & Dudley is celebrating its successful defence of a £485m hostile bid from pubs group Pubmaster.

Pubmaster received support from investors holding 47% of Wolves' shares, just a handful short of the amount needed to gain control of the company.

The decision marks the end of a bitter battle for Wolves' 1,500 pubs and four breweries, behind such brands as Banks's and Marston's.

Leisure entrepreneur Robert Breare sparked the chase for the company when he first mentioned the possibility of a takeover a year ago.

Wolves' chief executive Ralph Findlay says he is delighted at the result and says the board will now press on with its plans to revitalise the business.

He adds: "I think it was pretty tense, it was a close result, but I am very pleased about it.

"The important thing is that we now have a job to do. We have clearly set out what we are aiming to do and now we can do that for the first time in 12 months without the debilitating effect of an offer period hanging over us."

The decision was also welcomed by the Transport and General Workers Union which warned of job losses among Wolves' 900 brewing staff if Pubmaster's takeover was successful.

The privately-listed, Hartlepool-based group planned to sell Wolves' breweries and concentrate solely on integrating its pubs.

Pubmaster chief executive John Sands said: "We are disappointed with the outcome but respect the views of Wolves' shareholders."