Pubs group raises a glass to strong trading

Pub group Hawthorn has said trading has “significantly exceeded” expectations since its pubs reopened in April.

It is timely news as the group’s owner, NewRiver REIT, has previously revealed plans to divest the business, either through an IPO or sale. The 700-pub business is reportedly valued around £200m.

NewRiver REIT chief executive Allan Lockhart said: “The divestment is ongoing and will significantly improve our financial strength, provide the firepower required to reshape our portfolio and enable Hawthorn to capitalise on the significant growth potential available as an independent platform.”

80% of the pub group is tenanted and leased pubs, with the remainder forming its operator-managed division.

The group invested £7m in more than 200 capital expenditure projects in the financial year, many of which were focused on improving the outside space of our pubs. It also provided £8m of support for its partners and operators since the first lockdown.

Hawthorn chief executive Mark Davies said: “This is a very exciting and important time for Hawthorn. We were delighted with the recent acquisition of fourteen community pubs from Everards and the appointment of Colin Rutherford as our new Chairman last week.

“We look forward to continuing to grow Hawthorn, and with our commitment to building the very best community pub company, with industry-leading support and a people-first approach, we are confident that there is a great future ahead for Hawthorn.”