Regent Inns up for sale

Regent Inns, the owner of Walkabout sports bars and Jongleurs comedy clubs, has announced it is for sale following another poor set of figures.

The pub operator issued a profit warning in December and this week said like-for-like sales in the 6 months to 29 December 2007 fell 3.8%, trimming profits to £800,000 – down from £2.2 million 12 months earlier.

It is understood that Bob Ivell, the executive chairman, will look to sell the group as quickly as possible.

Alchemy, who owns Inventive Leisure, the company behind Revolution vodka bars, is believed to be interested, as is Sanne Trust, a Channel Islands fund that has acquired a 15% stake.

The company is currently valued at just £21.5 million and has been particularly affected by the smoking ban, imposed last July. Many of its pubs are on the High Street where there is little room for outside smoking areas.

Regent, who also owns the Old Orleans restaurant chain, is not paying an interim dividend. Bob Ivell is cutting costs and lowering investment. He insists the group’s brands are strong in spite of dent in consumer confidence following the credit squeeze.

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