Tchenguiz confirms 'informal offer' for pub group.
Iranian Property tycoon Robert Tchenguiz's R20 investment vehicle has announced it has made an offer for pub group M&B.
It said it had made an informal approach - of 550p a share - which it wanted to follow up with formal discussions but M&B has refused to acknowledge anything but a formal offer.
The latest statement adds to the saga, which has dragged on long enough for the Takeover Panel to issue a deadline of May 8.
The R20 statement reads: "Further to recent speculation, R20, the investment vehicle of Robert Tchenguiz, confirms that its consortium has, after a period of extensive due diligence since its initial announcement, made an informal approach to the Board of Mitchells & Butlers to acquire the company for 550p per share in cash.
"Subject to the Board of Mitchells & Butlers expressing its willingness to engage in discussions with the consortium on this basis (which the Board has refused to do), it was intended that the informal approach be followed immediately by a formal written approach supported by highly confident letters from its financing banks.
It is currently envisaged that the consortium's offer would be financed through a combination of equity and debt.
The consortium's preconditions to announcing a firm intention to make an offer include the following: a short period of confirmatory due diligence, final investment and credit committee approvals of the financing banks and equity consortium members and a recommendation by the Board of Mitchells & Butlers that shareholders accept the offer."
