Tchenguiz lifts stake in Mitchells & Butlers to over 29%
Mitchells & Butlers (M&B) activist investor Robert Tchenguiz has upped his total holding in the company to 29.77% after buying further so-called contracts-for-difference (CFDs) with no voting rights, according to a filing to the stock exchange.
The purchase of more CFDs was undertaken through Violet Capital Trust, which is wholly owned by the Tchenguiz family.
Tchenguiz now holds an economic interest in the pub operator via CFDs representing 26.77%, plus an interest in 3% of the company's ordinary shares.
In May, M&B appointed two non-executive directors from Tchenguiz's investment vehicle R20, Tim Smalley and Aaron Brown, to "boost its property financing expertise".
M&B has indicated it plans to become a real estate investment trust (Reit) when it is able.
Last week, Fuller's chairman Michael Turner has waded into the debate about M&B's future.
He told journalists at last week's results meeting he thought it was "very interesting" what was happening at M&B and contrasted it with the "long-term" view at Fuller's.
There is nothing long-term about a Reit, he said. "It's very unfortunate," said Turner.
"It's not good for the industry - it's not good for consumers."
Asked what he meant, Turner added: "By definition, the operating company is bound into high street leases.
"I think everybody is aware of what's happened to companies with high street leases.
"The best example is Laurel, which is giving two directors to M&B."
