Punch Taverns pull takeover merge plans in Uk

Pubs group Punch Taverns today said it had pulled plans to merge with rival Mitchells & Butlers after deciding the deal was “not in the best interests” of its shareholders.

But the firm, which had been exploring the possibility of a tie-up to create a £3.7bn (€4.7bn) pubs giant, said it was looking at joining forces with third parties to bid for the troubled firm.

Punch confirmed it had been approached by a number of groups interested in “possible transactions involving Mitchells & Butlers”.

Reports today suggested that private equity groups are considering buying stakes in the group, with interest due to be revealed before today’s bid deadline.