Bar Room Bar, a new Solihull-based leisure group, has acquired 16 high street sites - including one in the city's Mailbox development - from the Orchid Group in a deal worth £20 million.
The deal marks the start of an aggressive five-year £4 million acquisition strategy to purchase a further six new sites. The company's long-term aim is to increase the bar portfolio to 40 plus sites by 2012.
Ross Sanders, BRB's chief operating officer, is the driving force behind the deal. He has finalised talks with Orchid, aided by Midland accountants BDO Stoy Hayward, corporate finance partner Roger Buckley and Simon Gill, senior partner at city solicitor's HBJ Gateley Wareing.
Mr Sanders, who worked previously for the Spirit Group, said he was keen to return Bar Room Bar to its former glory.
"It is very rare that an opportunity to purchase so many prime locations becomes available," he said.
"I was fortunate to have built a strong relationship with the Orchid Group in my previous role; they understood that I would be the right person to nurture the product and develop the once successful Bar Room Bar brand."
Tony Sanders, Ross's father, who is responsible for steering the company through the acquisition and becomes managing director, is one of the original founders of the Jam House in St Paul's Square.
He also sold management firm Mercury Leisure to Pubmaster for £38 million in 1998 and is renowned for achieving the highest price paid per barrel of beer for any pub company.
Purchased from the Spirit Group in June 2006 as part of a £571 million deal, Bar Room Bar is a portfolio of 16 bars in prime high street locations across the UK including Leeds, Bristol and Birmingham.
Also joining from the Spirit Group is area manager Nick Sweeney, alongside the new financial director and another former Spirit employee, Jason Ross.
Ex-Sheffield United chairman Mike McDonald, who played down reports linking him to a buy-out of Leeds United, is also an investor in the deal.
Upon completion, the new owners will introduce radical renovations to a large number of the sites, in tandem with new marketing and design strategies, to be directed from the company's new head office at Trinity Park in Solihull.
Sid Muir, senior manager of corporate business at Allied Irish Bank (GB), the main funder for the deal, said the acquisition was a fantastic achievement for a r elatively small company and demonstrated the high regard the industry had for Mr Sanders.
"Orchid could have sold to the highest bidder but instead put their faith in Ross's vision, drive and experience," he said.
Jane Ogden, corporate banking manager at Allied Irish Bank (GB), said: "This has been a long and delicate deal so it is very satisfying that it has reached such a positive conclusion.
"We are doubly proud as it is not often that we are involved in deal where all participants, from the accountants and solicitors to the purchaser and funder, are all from Birmingham."