Firkin pubs founder flags up a float

DAVID BRUCE, founder of the Firkin chain of pubs, is bringing a company to the stock market for the first time in his long career as a serial pub entrepreneur.

At a time when most of the established pub chains are struggling, The Capital Pub Company, founded by Bruce and former Regent Inns finance director Clive Watson, today revealed a tripling of pre-tax profits and outlined steps towards a flotation.

As over-themed High Street pubs are battling to pull the punters in and protect margins, Bruce and Watson are focusing on non-branded, off-High Street pubs.

CPC's dozen traditional boozers, including the Anglesea Arms in South Kensington and The Ladbroke Arms in Notting Hill, made a pre-tax profit of £668,000 on sales of £6.77m.

Bruce and Watson have looked to wealthy individuals to back their latest pub venture, raising £15.4m through a tax-efficient Enterprise Investment Scheme (EIS).

A float is pencilled in for April 2006 at the latest but CPC intends to offer a matched-bargain trading facility in the near future.

Watson said: 'When we set up the EIS, we made it clear to our investors we would provide an exit. We are enjoying running the company too much to do a trade sale to a brewer.'

He hinted that the stock market debut may well come much earlier. With 90% of the EIS fund spent on the 12 freeholds, CPC will need to raise new money to expand.