Heineken given green light in Punch Taverns takeover

Heineken

Heineken is expected to wrap up its acquisition of Punch Taverns pubs before the end of the month after it received the green light from United Kingdom authorities. "The companies will own less than 10 per cent of all British pubs after any deal, but we are concerned about the loss of competition for pub goers in a number of local areas", said CMA acting chief executive.

Heineken made its offer after the Competition and Markets Authority said in June that the takeover of part of the Punch estate could reduce competition in 33 areas across the UK.

Before the merger was referred for a deeper probe, Heineken was given the opportunity to propose ways of address this concern.

The Dutch brewer already owns over a thousand pubs in Britain under the name Star Pubs & Bars.

Punch shareholders approved Heineken's 180p per share takeover offer in February, and this latest news now means the deal can go ahead.

Heineken announced in December a year ago it planned to buy Punch along with Patron Capital, a private equity firm, for £409m, or £1.78bn once Punch's debt is taken into account.

A Heineken spokesman said: "We have a great track record of investing in pubs, and we would continue this strategy - working closely with great operators to create even better venues".

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