Young's, one of London's largest pub chains, has set its sights on acquiring dozens more pubs to reach a target of 350. The group, which currently operates around 280 pubs across the country, is looking to expand its estate through further acquisitions. In a statement, Young's said it would 'keep acquiring' following the success of recent takeovers. The group has been on a major acquisition spree, with a string of deals in the past year.
Young's has not revealed the exact number of pubs it plans to buy, but industry insiders suggest the group is looking to acquire around 70 more London pubs. This would bring the total number of Young's pubs to 350, making it one of the largest pub chains in the UK. The group's expansion plans come as the pub industry continues to face challenges, including rising costs and changing consumer habits.
The Bank of England's decision to raise interest rates has also had an impact on the pub sector, with many operators facing increased borrowing costs. However, Young's is confident it can continue to grow and expand its business. The group's medium-term target is to increase sales by 5% per annum, with an operating profit margin of 6.5%.
Young's expansion plans are expected to have a significant impact on the UK's pub industry, with many smaller operators facing increased competition. However, the group's focus on quality and customer service is expected to help it stand out from the crowd. As one industry expert noted, 'Young's is a well-run business with a strong track record of expansion.'
The FTSE 100, which includes many pub operators, has seen a significant impact from the recent interest rate rises. The index has fallen by around 10% in the past year, with many pub operators facing increased costs and reduced sales. However, Young's is expected to continue to perform well, with its strong brand and focus on quality helping it to weather the storm.