LONDON (Thomson Financial) - Mitchells & Butlers is to consider selling a
minority stake to private equity firms in return for an injection of cash to
help repair the embattled bars operator's balance sheet, the Sunday Telegraph
reported, citing people close to M&B.
Blackstone and CVC Capital Partners, the buyout groups, are among the
prospective suitors for M&B examining the option of providing a loan that would
convert into a large stake in the group, the newspaper said.
If such a proposal was pursued, it would underline how private equity groups
were being forced to create new structures for their transactions because of the
absence of debt they typically require to fund large takeovers, the Sunday
Telegraph added.
nick.huber@thomson.com
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