Barracuda Group looking to sell 22 pubs
Barracuda Group, the managed pub operator, said today it is looking to sell 22 'non-core' pubs.
The group, which runs 217 sites and retail brands such as Smith & Jones and Barracuda bars, said it had earmarked nine freehold and 13 leasehold pubs for disposal "which no longer fit its benchmark criteria and the direction of its brands".
The sites, understood to be spread across the UK, predominantly in England, tend to have a more late-night trading profile. Since the group is trying to focus on more food-led operations it said it had decided to sell a small number of those pubs that did not fit its longer term strategy.
Some were "late trading venues which no longer fit strategically, as well as 'gold bricks' units where the value of the asset significantly exceeds the trading performance of the pub".
Barracuda said it will invest more than £16m over a two year period, with 50 refurbishments planned for the coming year, on top of 60 already completed in the last 12 months. The proceeds from the asset sale, which is being handled by property agents Christie + Co, will be used to re-invest in the core estate, it said.
Speaking about the sale plan, Mark McQuater, Barracuda's chief executive, said: "We are relentlessly focussed on adapting and evolving our offer and keeping our pubs fresh and exciting for our customers at the forefront of industry trends.
"This evolution in the group's strategic focus will further assist Barracuda to better compete in today's fast-changing marketplace. The disposal of this package of non-core pubs will generate additional capital for us to further reinvest in our existing estate and maintain our reputation for innovation."
