Multi-site operator Redcomb Pubs Ltd, founded by Managing Directors Dan Shotton and Mark Draper, announces the sale of the group to Young & Co.’s Brewery, P.L.C. for £34 million on a cash-free and debt-free basis, representing a multiple of 8.5 x EBITDA. The 15-strong portfolio of pubs and bars situated within prime locations across London, the home counties and the South West will be transferred to Young’s managed estate division, bringing their total number of managed houses to 200.
Launching in 2010, Redcomb Pubs has become a major player within the independent pub company sector, diversifying and expanding its portfolio through strategic acquisition, the incorporation of a number of sites with rooms and more recently, launches within the London bar and restaurant scene. Figures posted in October 2018 show turnover for the group reached £16.7m for the year ending 30 June 2018, representing an increase of 10.6% year-on-year, with profits over the same period rising by 11.9%.
Commenting on the sale, Dan Shotton says:
“Our journey from single site in 2010 to the 15 pubs and bars you see today has been an incredibly exciting and rewarding one. We’ve always had a real passion for creating great pubs and have been lucky enough to have built an amazing team around us who share our passion and have helped us grow.
“Through this acquisition we are confident that the estate will continue to go from strength to strength, benefitting from its alignment and synergy with the ethos at Young’s.”
Patrick Dardis, Chief Executive of Young’s, adds:
“The team at Redcomb has created an outstanding, well-invested estate of pubs, which we are delighted to add to the Young’s fold.
“The acquisition of these pubs represents an excellent opportunity to continue the growth of the Young’s managed estate. They fit very well with our expansion strategy which is focussed on high quality managed houses.”
Commenting on future plans, Mark Draper continues:
“We’ve always challenged ourselves to create premium pubs that we’d be proud to visit ourselves, it has been the very bedrock of our business. Our thanks go to the entire team and all our suppliers in helping us make Redcomb such a success.
“In our opinion, the pub sector remains a vibrant and exciting space to conduct business, and still, if done correctly, has a valued place in the hearts and minds of the great British public. Both Dan and I have ‘pubs’ in our blood. Where that takes us next marks an exciting new chapter that we can’t wait to build upon.”