Greene King has been downgraded by Panmure Gordon from ‘buy’ to ‘hold’ after its purchase of Belhaven. Stuart Price, analyst at Panmure Gordon, said: "We are downgrading our stance from ‘buy’ to ‘hold’ to reflect increased regulatory risk due to the acquisition of Belhaven Group. "This could undermine confidence in concensus forecasts, although this process could reverse from mid-2006 if post-smoking ban trading expectations are surpassed." The proportion of Greene King’s pubs in Scotland will increase from 1% to 12% as a result of the Belhaven acquisition. The company’s shares closed down 7 pence, or 0.5%, at £12.95.