Red Oak Taverns secures growth funding
The capital has already been used to acquire nine pubs from Hall & Woodhouse in September representing Red Oak’s third pub portfolio acquisition of this year, following the purchase of three pubs from Reclamation Inns at the start of 2021 (January) and 10 tenanted pubs from Wells & Co in March.
The free-of-tie operator launched in 2011 by co-founders Aaron Brown and Mark Grunnell and it now boasts an estate of more than 200 sites.
Commitment highlighted
Red Oak Taverns co-founder and chief executive Mark Grunnell said: “Our acquisitions this year have highlighted our commitment to growing a quality pub estate throughout the UK by working with pub owners and family brewers in a professional and diligent way.
“The commitment to growing our business remains undiminished by the pandemic, something that has been mirrored by OakNorth Bank’s willingness to continue supporting the hospitality sector through cycle.
“As has been the case with previous loans we have taken from the bank, the team operated with speed, transparency and an entrepreneurial mindset. This is why we keep returning to OakNorth Bank for capital – the experience is first class.”
The company was described as an “excellent borrower” by OakNorth Bank senior director of debt finance Mohith Sondhi.
Challenging time
He added: “Covid has been challenging for their sector, but the management team has dealt with this admirably.
“Through the period, they have managed their business incredibly well and worked extremely closely with all key stakeholders, in particular with their tenants.
“They saw the Hall & Woodhouse portfolio as a unique opportunity to continue to strengthen their business and re-emphasise their buy and build strategy even during these difficult times, so requested our support and we were delighted to provide additional funding to further their growth.’’
