Covid impact: With the support of our main stakeholders, we are now well placed to emerge in a strong competitive position and look forward to the removal of remaining trading restrictions, M&B s Phil Urban explained Despite takings tumbling by 79% during the six months to 10 April, the CEO of the firm behind Toby Carvery and All Bar One believes it can emerge from pandemic restrictions in a ‘strong competitive position’.
In its most recent half year results statement, the Birmingham-based operator of more than 1,700 venues revealed that revenue plummeted to just £219m from £1.04bn during the first half of the previous financial year.
Toby Cavery and All Bar One operator Mitchells & Butlers (M&B) has secured gross proceeds of £350.5m from shareholders as it bids to weather to Covid-19 pandemic.
Pub, bar and restaurant group Mitchells & Butlers (M&B) has completed its capital fundraise, securing more than £350m from shareholders.
The Toby Cavery and All Bar One operator raised the funds to the tune of £350.51m through an open offer that will see it issue 167 million new shares.
The raise sees shareholder groupings Piedmont, Elpida Group and Smoothfield Holding being acquired under the Odyzean Group, which will hold 55% of the company’s issued share capital.
Before launching the raise, M&B said its liquidity position had “deteriorated significantly” as a result of the impact of the Covid-19 pandemic, with the open offer critical for the continued operation of the group and its immediate financial stability.
By Reuters Staff
2 Min Read
FILE PHOTO: Customers are seen at a table outside The Island Queen pub, which is run by Mitchells & Butlers, amid the outbreak of the coronavirus disease (COVID-19) in Islington, London, Britain, September 24, 2020. REUTERS/Simon Newman
(Reuters) - UK pub operator Mitchells and Butlers (M&B) said on Monday it will raise 350 million pounds ($485.98 million) in new equity under a deal with creditors and its main investors that also includes 150 million pounds in new credit lines.
M&B, which cut around 1,300 roles last year, said in January it may need to raise fresh funds as Britain’s latest lockdown had shut its sites again.
UK pubs group Mitchells & Butlers to raise £350m
Updated / Monday, 15 Feb 2021
09:23
M&B said it will issue 167 million new ordinary shares to existing shareholders at a subscription price of 210 pence per share
UK pub operator Mitchells and Butlers said today it will raise £350m in new equity under a deal with creditors and its main investors that also includes £150m in new credit lines.
M&B, which cut around 1,300 roles last year, said in January it may need to raise fresh funds as Britain s latest lockdown had shut its sites again.
The company also said Piedmont, Elpida Group and Smoothfield Holding, which collectively own around 55% of the pub owner, had formed a consortium called Odyzean Ltd to become its majority shareholder.