Sector News

CK Asset Holdings to acquire pub company Greene King for £2.7bn

August 21, 2019
Food & Drink

Property investment firm CK Asset Holdings has secured a deal to acquire UK pub and beer company Greene King for £2.7 billion.

Greene King, which bought Spirit Pub Company for £774 million in 2015, operates around 2,730 pubs, restaurants and hotels across the UK and owns beer brands such as Abbot Ale and Old Speckled Hen.

Hong Kong-listed CK Asset said it believes that pubs “will continue to be an important part of British culture and the eating and drinking out market”. The company already owns a small portfolio of freehold pubs, all of which are leased to Greene King.

The deal marks the second time this year a major British brewer has been bought by an Asian buyer, after Asahi Europe secured a deal to acquire the beer, cider, soft drinks and distribution business of Fuller, Smith & Turner for £250 million.

Nick Mackenzie, chief executive of Greene King, said: “Greene King has a well-invested estate in prime locations, leading brands, a rich history and a talented team of c.38,000 people serving millions of customers across the country every week.

“CKA is an experienced UK investor and shares many of Greene King’s business philosophies. They understand the strengths of our business and we welcome their commitment to working with the existing management team, evolving the strategy and investing in the business to ensure its continued long-term growth.”

Gerald Ma, executive committee member and general manager, corporate business development department of CKA, added: “We have come to know Greene King well as we have been an owner of a portfolio of pubs which have been leased to them since late 2016.

“We share the strategy which Greene King has set out in its recent results announcement, that is to focus efforts on developing the brand, enhancing the service offering, training and retaining talent, executing an active estate management strategy, and all under a prudent financial management policy.”

Source: FoodBev

Related News

October 17, 2020

Godiva announces departure of CEO Annie Young-Scrivner

Food & Drink

Godiva has announced the upcoming departure of CEO Annie Young-Scrivner and the appointment of Nurtac Afridi as her interim replacement. According to Godiva, Young-Scrivner will depart at the end of […]

October 17, 2020

Rémy Cointreau acquires majority stake in champagne producer

Food & Drink

Rémy Cointreau has acquired a majority stake in champagne producer, Champagne J. de Telmont, for an undisclosed sum. Founded in 1912, the champagne house is located in Damery, in the […]

October 17, 2020

Rebranding on the horizon? Plant-based space bracing for European vote on meat and dairy terminology

Food & Drink

A European proposal to ban the use of names such as “burger” and “sausage,” as well as descriptive terms like “yogurt-style” and “cheese alternative,” from being used on vegetarian and […]