Massive attacks with £6m deal
Massive, the independent London-based pub retailer, has acquired Thomas & Carter, the gastro-pub chain, in a deal valued at £6m.
The 10-strong package takes the Massive estate, which is predominately located in the south-west area of London, to 40 pubs.
The cash to fund the deal was part of a £14m re-financing package secured through the company's principal backer, Bank of Scotland (BoS).
The Thomas pubs are all leased and in prime locations such as Covent Garden, Notting Hill and Soho.
Managing director Stephen Brook said the deal represented the next phase in the company's development. "This really takes us forward on to a new platform," he said. "We plan to operate Thomas and Carter alongside our three existing trading platforms."
Massive operates three types of outlet; the Tup chain of 'traditional pubs with a bright, modern twist', L'auberge - a pub and a French restaurant under one roof - plus traditional houses such as the Fox and Grapes on Wimbledon Common.
Massive is the latest of a clutch of managed companies, which includes Barracuda, and Wizard Inns, to secure additional funding for expansion.
Two years ago, the outgoing Thomas and Carter management sold another chain, the 'contemporary traditional' Smith and Jones concept, to Barracuda.
Massive was formed by Mr Brook and Peter Linacre in 1993. The duo met in 1980s when they worked in the City as a trainee stockbroker and fund manager respectively.
Historically, the original aim was to build a company with an estate of between 50 and 70 pubs. Mr Brook thinks it likely the company will press ahead to the top end of that range before reviewing the business. "This deal represents a quantum leap for Massive.
"Thomas and Carter is very similar to what we already do. The chain has premium sites in premium locations and bolsters our position in having a pre-eminent portfolio in our trading area."
Mr Brook added that the company would 'stick to its knitting' by concentrating on applying the same high operating standards already seen in its existing outlets.
The company has enjoyed valuable free publicity in recent times with The White Swan at Twickenham, voted Evening Standard Pub of the Year in 1997, featuring heavily in the opening credits of the BBC's Six Nations rugby coverage.
And the City Tup was the backdrop for the recent City spread-betting scandal, which made the front page of every financial paper and that featured characters with such names as 'The Spaniard' and 'The Plumber'.
