This week’s Diary includes more on the Orchid sales process, the initial feedback on Enterprise’s first managed site, another award for Loungers and renewed pressure for pubco reform.
Orchid process ready to bloom
Diary will be an interested spectator of the process surrounding the sale of Orchid Pub Company as it moves into its latter stages. We understand that the group’s backer Deutsche Bank is looking at bids over £225m, meaning one bidder thought to have put forward a £198m offer has fallen by the wayside. Greene King, M&B and Spirit have been named as the trade buyers interested in part of the company’s estate, although it is thought that the latter may not have firmed up its interest when the latest bids were due on Monday. There is also the question of who was the third unnamed private equity group with a leisure sector track record, which has made a bid for the whole of Orchid? Diary understands that it could be Wagamama-backer Duke Street Capital, which is believed to have run the rule over the Rufus Hall-led business.
Off the hook
After waiting 15 years to move up to the top seat at Enterprise Inns, new chief executive Simon Townsend would have expected a least a light grilling from analysts in the Q&A section of the company’s presentation after its interim results yesterday. Diary tuned in with popcorn at the ready to listen in to the expected lively fare, especially after the news that the company has recently made its first move into the managed sector. Instead only Douglas Jack from Numis stepped forward with three quick questions for Townsend and FD Neil Smith. How very different from the Ted Tuppen days!
A high rate of interest
It has only been open for a few days, but since M&C Report broke the story about the first managed pub from Enterprise Inns, we understand that a number of leading sector players have paid the St James of Bermondsey a quick visit. The managers and staff at the south London venue told Diary that they have served a number of ‘suits’, who have popped in for a quick drink, casually asked a few probing questions, had a surreptitious poke around the premises, and taken some sneaky pictures on their phones before quietly slipping away. Diary did likewise, jumping on to the Jubilee Line after the BII Annual Lunch yesterday, and bumped into a senior Enterprise Inns manager, who’d had the same idea and was conducting his own recce of the site. Apparently they were expecting a “Simon from head office” today.
Petition pressure
The Campaign for Real Ale (CAMRA) has mounted renewed pressure on the Government for pubco reform by delivering a petition to business secretary Vince Cable today. The petition, calling for Cable to “act now to save Britain’s struggling pubs”, gained more than 42,000 signatures, after surpassing 30,000 in five days. More than 100 campaigners, pub-goers and licensees gathered outside Parliament urging for an end to what anti-pubco campaigners call the “Great British Pub Scandal”. The Government launched its consultation on a statutory code on the pubco-tenant relationship more than a year ago, but has so far failed to deliver its response. CAMRA said it is essential that Cable “sticks to his guns” and makes an announcement in the next few weeks, to allow time for action before the General Election next year. CAMRA said it recently received a letter from Cable stating: “We intend very soon to publish the Government response to our pubs consultation and to announce the next steps.” To read the full story clickhere
Channelling the right branded offer
Diary is a fan of the writing of Stephen Evans, development director at Gourmet Burger Kitchen (GBK), on his blog beagleco.co.uk and his latest musings on the branded sector doesn’t disappoint. Evans starts tongue-in-cheek by pulling up the producers of the BBC fornot moving with times on Eastenders in terms of the show’s café, pub and restaurant offer, especially as he points out: “When it comes to innovation East London has it wrapped up.” He broadens his point to look at how mundane and anti-brand these emerging areas have become. He says: “Don’t get me wrong, I’m all for anti-homogenisation but if we are not careful, gentrification will mean a second tier of homogenisation filled with artisan coffee shops and brunch joints and very little else.” To read the full article click here.
Net gains
Is the march of wi-fi into restaurants inevitable? For Vapiano founder Kent Hahne, it appears so. Speaking at a panel session during Allegra’s Restaurant Leader Summit in the south of France today, he said: “I fought for 11 years to keep wi-fi out of our restaurants. Unfortunately I gave in two weeks ago.” Despite being opposed to the idea, Hahne conceded that it’s almost a must-have service these days. Abokado CEO Mark Lilley, meanwhile, said he’s “no way near brave enough” not to offer wi-fi at its outlets, describing the service as being “like oxygen” for younger customers.
No slouches
The awards keep coming for the fast-growing Loungers, which last week opened its latest Lounge site, the Rivo Lounge, in Chippenham. Earlier this year, the group’s co-founder Alex Reilley picked up the Retailers’ Retailer of the Year Award and now it seems the company’s remarkable growth is picking up wider acclaim. Yesterday it won the Barclays Ones to Watch Award at the Sunday Times’ Fast Track 100. It may also have picked up some advice from an operator which now has an estate pushing towards the 400 mark. Speaking at same event, Larry Billet, chairman of Pret A Manger said: “Our biggest learning was about enabling staff, no matter how senior, the freedom to make mistakes.” Not a bad lead to follow.
Astute institute chairman
British Institute of Innkeeping (BII) interim chairman Tom Richardson arrived into the role in the most tragic of circumstances, following the sad and untimely recent death of Bernard Brindley. However, he immediately showed himself to be a man of personal good fortune (better to be lucky than good, they say - without wishing to cast any aspersions). At the institute’s annual dinner yesterday, Richardson joined guest presenter John Inverdale on stage to draw the winner of the charity raffle for two full-hospitality tickets to the Heineken Cup rugby final. Ticket 122 was selected, followed by an awkward silence, after which Richardson rummaged through his own pockets to produce the winning token. But he immediately showed himself to be a man of great benevolence, as well as luck, by donating the prize to one of his table guests. Goodwill all round on a genuinely positive day for the BII.
Pizza perfection
If you want to know how to make the perfect pizza, Davide Civitiello may be a good man to talk to. Civitiello was the winner of the World Pizzaioli Championship 2013 and will be touring London and Birmingham from 19 to 26 May 2014 offering a masterclass in how to create the perfect Neapolitan pizza. The 29 year-old beat 500 other contestants from 47 different countries in order to win the revered Caputo Cup, and officially become the World’s Best Pizzaiolo. Civitiello, who is a senior Pizzaiolo for Rossopomodoro, is also appearing at the Foodies Festival held at Marble Hill House on 24 May, offering all visitors a chance to see a “master in action”.
PoundPub keeps “riff raff” contained
The second PoundPub has opened its doors in Atherton, Manchester, to offer no-nonsense booze at very low prices. Landlord Dave Sutton told Mancunian Matters that some local pubs are unimpressed with his offering: “The other pubs in the town are not so happy but that’s not our fault. That’s just because throughout the day we have the majority of customers in the town in here.” However, one rival welcomes the move: “It keeps all the riff raff in one place. Every town should have a pound pub because it attracts all the ne’er-do-wells,” said Mary Bates, landlady of the nearby Jolly Nailor.
