Greene King's Rooney Anand (l) and Spirit's Mike Tye shake on their companies' agreed merger.
Greene King has acquired Spirit Pub Company for £774m, in what it has described as “the most high profile deal in the pub sector since 2005 when Punch Taverns acquired the original Spirit Pub Company”.
The deal allows Greene King to further realise its ambition to create a clear industry leader and grow its share of the UK eating and drinking out markets. The combined business will be the UK’s leading managed pub operator, Greene King claimed, and will deliver a number of significant financial benefits.
In addition, the tenanted business will materially benefit from the contribution of Spirit’s leased pubs and Greene King’s beer business will benefit from additional routes to market for its Greene King IPA, Old Speckled Hen and Abbott brands of ale.
Greene King chief executive officer Rooney Anand said: “I am delighted to announce the completion of the acquisition of Spirit, bringing together two successful companies to create the UK’s leading managed pub company. Our focus now turns to building a combined business of our best brands, people, locations, and processes to ensure we succeed in the eating and drinking out markets for the long term. As we begin this exciting new phase in our history, Greene King will continue to focus on creating a great place to work for our people, delivering industry-leading value, service and quality to our customers and maximising value for our shareholders.”
Spirit Pub Company chief executive officer Mike Tye added: “The deal to combine Greene King and Spirit has now completed. The combined business will be the largest managed pub company in the UK and a real force to be reckoned with, especially by taking the best of both businesses and creating a clear industry leader.”
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