Stonegate makes £100m play for Revolution Bars Group

Revolution Bars Group has confirmed it has received a preliminary approach from Stonegate Pub Company to acquire its entire issued share capital for a price of 200.0 pence per share.

With 50.0 million shares in issue on Monday, the proposal values Revolution Bars at £100m. Shares in Revolution Bars Group were up 9.9% at 138.00 pence on Monday.

Discussions between Revolution Bars and Stonegate on the proposal are ongoing, with Stonegate undertaking its due diligence review. Stonegate has until August 28 to announce a firm intention to make the offer or walk away.

Revolution's 2015 London float marked the second time it had listed. It previously traded on the junior market as Inventive Leisure, before being bought for £42.5m in 2005 by private equity owners Alchemy Partners.

Stonegate has a portfolio of 690 pubs and bars across the UK, with brands including Slug and Lettuce, Yates's, Henry's Cafe Bar and Missoula.