Barracuda Group, the managed pub operator, is set to return to the acquisitions trail in the second half of the year following the completion of its investment programme.
The company plans 40 refurbishments this year and when asked about acquisitions, chief executive Mark McQuater told M&C Report: “Once we’ve finished the programme [of refurbishments] that’s what we’ll be looking at in the next half of the year.”
McQuater said there are no plans for further disposals - Barracuda has sold a handful of sites over the past two years and its estate currently stands at 217.
This morning Barracuda announced that it has reduced the size of its Varsity bars to 27 sites as it moves to upgrade the brand to appeal beyond its core student market.
Eight Varsities have been rebranded as Barracuda’s core Smith & Jones concept, while a further four have been sold, since the start of the year. Investment in a further five Varsity bars is planned over the next 12 months.
Eleven of the remaining 27 Varsities have been upgraded to the “next generation” design, billed as a “softer, more contemporary and with an appeal which spans beyond students to young professionals”.
Barracuda said the refits have lead to stronger trading, with like-for-like sales up 5.5% in the first quarter of 2011.
Among the new features are a Costa coffee offer and a new food menu that includes a Sunday carvery. The company said: “Today’s Varsity offers its customers a contemporary bar with softer furnishings, designer fittings and a lounge atmosphere which welcomes everyone from shoppers and students to after-work drinks and weekend party nights.”
McQuater said: “Students and young people have a tough time over the recession so we’ve deliberately widened the appeal.”
He added: “We have a number of sites which trade extremely well under the Varsity format. We understand both the student and the student-minded lifestyle and what it takes to make a truly great student venue. We remain committed to the brand in our pub portfolio and will continue to invest in the next generation of this successful format.”
