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Marston's To Buy Thwaites Beer Division For GBP25.1 Million

31st Mar 2015 09:08

LONDON (Alliance News) - FTSE 250-listed pub company and brewer Marston's PLC Tuesday said it has struck a deal to acquire the beer division of Daniel Thwaites PLC for GBP25.1 million in cash, an acquisition it expects to boost earnings right away.

Marston's has been handling the brewing of Thwaites' beers since 2014, including its Wainwright and Lancaster Bomber ales. It estimates the division generated earnings before interest, taxation, depreciation and amortisation of around GBP7 million in the year to the end of December.

Marston's expects the deal to earnings-enhancing in the first full year of ownership and expects the division to contribute GBP1.5 million to its pretax profit in the current financial year to October.

"I am delighted to welcome our new colleagues to Marston's. We are acquiring a very high quality business with good people and brands, and with growth potential. The acquisition is consistent with our beer business strategy to focus on local provenance and premium brands, and provides opportunity to capitalise on the developing free trade market and increasing consumer interest in the beer category," said Marston's Chief Executive Ralph Findlay.

Shares in Marston's were up 0.3% to 151.9021 pence on Tuesday.

By Sam Unsted; [email protected]; @SamUAtAlliance

Copyright 2015 Alliance News Limited. All Rights Reserved.


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