Mitchells & Butlers (M&B) has appointed an adviser to look into the disposal of 300 wet-led pubs, as part of its aim to reshape the business into a food-led operation.
According to a report in the Sunday Telegraph, the pub giant has brought in Sapient Corporate Finance to advise on the disposal of 300 wet-led pubs, a move that could raise £500m.
In March M&B stated that it would, after a change of management, be concentrating on food-led, higher-margin pub brands, with plans to develop smaller high street variants of its Harvester and Toby Carvery operations.
The pub company, which currently operates more than 900 pubs including the All Bar One and O’Neill’s chains, will also seek out sites in “high traffic locations” such as retail and leisure parks.
M&B hopes to expand its portfolio to almost 2,000 outlets through conversion, acquisition and new site development strategies, but plans only to keep on the brands that have “the potential to grow to over a hundred outlets or deliver an EBIT of more than £10m.”
It is thought that Scream, which is aimed at students, and its Community Pubs and Town Pubs divisions will be put up for sale.