Pubs group set for FTSE 100 cheer

One of Britain’s biggest pub operators, Enterprise Inns, is set to rise into the ranks of the UK’s top 100 companies tomorrow.

Enterprise is tipped to be admitted to the FTSE 100 Index when membership of the Footsie is reviewed.

The Solihull-based pubs group is expected to replace investment trust Foreign & Colonial in the index.

Enterprise is to become the UK’s largest pubs group by buying the Unique Pub Company for £609m (€901m), nearly doubling its estate to 9,143 pubs, subject to shareholder approval.

The move makes Enterprise the largest UK pubs group, eclipsing Punch Taverns which took the lead after its takeover of Pubmaster in November.

It has expanded through a series of acquisitions, including the Laurel pubs in 2002.

The FTSE 100 Index’s Europe committee is due to decide promotions and demotions from the top flight at its quarterly review meeting.

Since only one company is set to be demoted from the index this quarter, Enterprise is the most likely candidate to rise.

However, companies including music group EMI and bookmaker William Hill may still stand a chance of promotion.