Punch Pubs sold to US investor for undisclosed sum

Punch Pubs & Co has been acquired by Fortress Investment Group, a US-based investor owned by Japan’s SoftBank, for an undisclosed sum.

The pub group, which is led by chief executive officer Clive Chesser, has 1,300 sites across the UK.

It has been sold by Patron Capital, which bought Punch’s then 3,200-strong estate for £1.8b in 2017. The majority of its pubs were later sold to Heineken.

Punch’s pubs are based in suburban and rural locations, which has helped it to weather the challenges of the pandemic. The group acquired 56 sites from Young’s Ram Pub Company in July.

The Fortress deal has been rumoured for weeks, with Sky News reporting a sale could be in the region of £1b.

Chesser said the deal was “very positive news” for Punch as Fortress was a “hugely experienced investor”.

He added: “We welcome their ambition and commitment to work alongside the existing management team to invest in the business with innovation and capital to ensure our long-term success in what is a highly competitive market.”

Cyril Courbage, managing director of Fortress, said the Punch team had done “an exceptional job” during the pandemic with the businesses positioned “for long-term growth”.

“The UK is an extremely attractive investment environment, and we will continue to explore other opportunities in this sector and across the UK, Ireland and Europe,” he said.

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