Monday, 7 December 2009

M & B Pub Group Battle for Control

British pub group, Mitchells and Butlers has complained to the Takeover and Mergers Panel claiming a number of its large shareholders are attempting to take control of the board. In a statement, Mitchells and Butlers said the actions of the Piedmont Investment Group (‘Piedmont’) threaten to undermine the independence and effectiveness of the Board ‘to advance the interests of a small group of shareholders’.

Representatives of Piedmont, the investment vehicle of billionaire Joe Lewis, which owns 23pc of M&B, will meet with the Takeover Panel today to defend themselves against the company’s allegation that they have been acting in concert with other major shareholders.

Under Panel rules, shareholders in a company must declare it if they are acting collectively. In this case, Piedmont denies that it has joined forces with Elpida, a vehicle controlled by the Irish racing magnates JP McManus and John Magnier which owns about 17pc of M&B.

M&B’s annual meeting is scheduled for next month.

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