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Pub firm in a renewed bid to pass debt deal

By Burton Mail  |  Posted: March 05, 2014

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A BURTON-BASED pub giant has issued another plea for all parties to agree a deal to restructure the firm – or says everyone involved could end up with a ‘materially worse outcome’.

Bosses at Punch Taverns, based on Centrum 100, spoke out as it continues to battle to reach consensual deal with all investors over a plan to restructure its mammoth £3 billion debt pile.

It comes only weeks after the firm had to pull proposals it had suggested after it looked likely that they would be rejected.

A spokesman for the firm said: “We believe that this default would result in a materially worse outcome for all stakeholders than would be achieved by the agreement of a consensual restructuring,

“Against this backdrop, we are aiming to agree the terms of a consensual restructuring with key stakeholders over the next few weeks in order to be able to document and formally launch a revised proposal ahead of the next financial covenant reporting date of April 15.”

The news emerged as the firm moved to reassure tenants in its pubs across the country that it was ‘business as usual’ as it looks to secure its future.

In a message sent out to all pubs, the firm said: “As you know it has been very difficult to bring together the diverse stakeholders to agree a deal.

“All stakeholders know that getting a consensual restructuring is the best answer and we remain convinced it will happen.

“It is very much business as usual.”

Stephen Billingham (pictured), executive chairman of Punch Taverns, said: “No-one can be in any doubt about the consequences of failing to agree a consensual deal.”

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