Punch drunk

Interesting piece from Digital Look on Punch Taverns which are selling the Brook Inn:

From Thursday tips round-up

Equity investors in Punch Taverns now have their backs against the wall. The company´s current quandary is such that it must either restructure its debt or face the risk of default. “These circumstances represent a material uncertainty that casts significant doubt on the ability of a significant part or substantially all of the group to continue as a going concern,” Punch directors said yesterday. Should the firm default the lenders could then request early repayment of all the outstanding debt, amounting to roughly 2.4bn pounds. Putting that in perspective, it is more than seven times the shareholder’s equity of 296m pounds, and almost 25 times the current market capitalisation. As well, profitability has taken a turn for the worst.

Here’s the link: http://www.digitallook.com/news/21182611/Thursday_tips_round-up_Punch_Taverns_DMGT_Energy_utilities.html

Brook Inn update

The pub committee met today where interest in the purchase among would-be buyers was said to be ‘encouraging’. Just six months into the campaign, the committee is confident of raising enough funds to secure the future of the pub.

Another committee meeting is scheduled in two weeks after which we hope to announce a date for another public meeting where we can give a more thorough update on the pub purchase.

In the meantime moves are afoot to form a company to buy and run the pub after a purchase and HMRC contacted to pre-register for the EIS tax scheme. If anyone needs further information on the incentive, they can read it on the following link http://www.hmrc.gov.uk/forms/eis-seis-aa.pdf.

While interest is ‘encouraging’, we still need as much involvement as possible so if you’re reading this and thinking of buying shares please get in touch and let us know via the website email. And better still, urge friends, relatives and neighbours to do the same.

 

In the news

For those who haven’t seen this month’s In Touch With…magazine, the campaign to save the pub is on the front page with a story on page 2. The welcome publicity has spurred a flurry of new pledges via the website email address so grateful for the magazine’s coverage. If you haven’t yet, register your interest and try and get friends and neighbours to as well.

Front page news

Front page news