Heineken completes acquisition of 1,900 Punch pubs

On Friday (25 August), investment firm Patron Capital completed its £1.8bn acquisition of 3,200 Punch pubs​, as part of the “complex” two-part deal.

Heineken has said it will “fully integrate the pubs” into its existing Star Pubs & Bars estate, creating the country's third largest pub business.

The pubco confirmed it plans to work closely with the incoming licensees “to help them to realise the increased potential from the pubs that they operate”.

Unlock further value​

Commenting on the successful completion of the transaction, Stefan Orlowski, regional president Europe for Heineken NV said: "Investing to grow our UK pub portfolio through this acquisition will enable us to unlock further value in the UK pub market.

“The performance of our Star Pubs & Bars business clearly shows that well-invested pubs, in the hands of skilled and ambitious independent operators, can outperform and we will seek to replicate that success with these new pubs in partnership with their licensees."

Welcome new licensees ​

David Forde, UK managing director for Heineken, added: "This is good news for pubgoers across the UK who will see the benefit of well-invested pubs in their communities.

“We welcome the new licensees to Star Pubs & Bars and look forward to working with them to grow their businesses and create successful pubs in the heart of communities across the UK."

The pubs acquired by Heineken will be operated for six months by Punch under a transitional services agreement, after which they will be integrated into the existing Star Pubs & Bars pub business.

The transitional services agreement has no impact on Star's existing licensees, who will continue to trade on a “business as usual” basis.