Avebury Taverns, the privately-owned pubs group with a number of outlets in Shropshire, has sold 253 pubs to Admiral Taverns for £69.75 million in cash.
The estate, which is overwhelmingly freehold or long leasehold, is situated across England and Wales. The outlets are predominantly wet-led pubs located in residential areas and targeted towards the requirements of their local communities.
During the 12 months to April, the estate generated outlet earnings before interest, tax and amorisation (EBITDA) of £6.3 million.
The current run-rate outlet EBITDA is £6.9 million.
David Myers, managing director of Avebury Taverns, said the deal was a "major milestone" for both Avebury and Admiral. "We are disposing of 253 pubs that are not core to our portfolio and this will leave us with 410 pubs that deliver average house profits in excess of £52,000 a year," he added.
Gary Landesberg of Admiral Taverns said the acquisition would double the size of its estate.
Admiral Taverns was created in March 2004 to build an estate of tenanted pubs.