Eldridge Pope ready to expand

Eldridge Pope has transformed itself from brewer to dedicated pub operator and is ready to expand.

Chief executive Mike Johnson said the company had debt facilities of £80m, of which only £46m had been used. The remarks came as Eldridge Pope reported results for the year to September 30 in line with expectations, and gave a positive statement on current trading.

Mr Johnson welcomed Government plans to allow pubs to open for 36 hours over the New Year. He said Eldridge outlets would stay open but not necessarily for three days.

The company is planning to expand its Toad pubs, which are the main growth driver in the business. It opened six of the city-centre pubs during the year with a further four to be opened by the end of next January.

Mr Johnson would not comment on recent speculation of a takeover bid from Greene King or Robert Breare's Noble House Leisure.

However, one analyst forecast that the company was unlikely to be independent within two years. It was only a matter of time, he said, before someone swallowed Eldridge Pope, although a winning bid would probably have to be at least 20p above the asset value per share of about 300p.

The company said it was cashing in on the growing trend for people to go out for their Christmas lunch - bookings for Christmas Day meals had soared 20 per cent.

The shares were fairly static, closing up half a penny at 252p.

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Bid speculation mounts at Eldridge Pope (13 November 2001)