Punch/M&B: Bidder’s droop

The froth around Mitchells & Butlers is evaporating fast. Two months ago the pubs group effectively put itself on the block. Yet on March 28, rival Punch Taverns - the only credible trade bidder - pulled its cash-and-shares offer for the company. With private equity groups laid low, a compelling takeover offer for M&B looks, for now, out of the question. Why did Punch walk away? One theory is that it was spooked by the terms of a £400m bridge loan M&B took out to cover its losses after a top-of-...