Marston’s rejects takeover approach it says “significantly” undervalues the pub group

Marston’s has rejected a takeover proposal from a US private equity firm, and said the offer “significantly” undervalues the pub group.

The firm, which is led by Ralph Findlay and has had to shut sites for Covid lockdowns, said it had received a 105p per share proposal from Platinum Equity Advisors. That values the business at around £690 million.

The update comes after Marston’s, which has an estate of  over 1300  pubs, on Friday said it had received a takeover approach it would evaluate.

Marston’s today said the board had considered the 105p per Marston's share  proposal with its advisers, and unanimously rejected the proposal on the basis that it very significantly undervalues the business.  

The company added: “The proposal followed two earlier proposals at 88p and 95p per share in December 2020, both of which were received prior to the Brains transaction, and were unanimously rejected by the board.”