Stream of would-be buyers look at Cains

Aug 9 2008 by Alistair Houghton, Liverpool Daily Post

Stream of would-be buyers look at Cains

THE administrators at Liverpool brewer Cains are working closely with former owners the Dusanj brothers as they seek a new owner for the business.

Cains, which owns the historic Stanhope Street brewery and a chain of more than 100 pubs, went into administration on Thursday after last-ditch funding talks with the Bank of Scotland collapsed.

Administrators PricewaterhouseCoopers say they have had a steady stream of inquiries from people looking to buy the business.

The firm, bought by Ajmail and Sudarghara Dusanj in 2002, had been trying to secure a refinancing deal for months – a need which became more urgent after HM Revenue and Customs issued a winding-up petition at the High Court over an unpaid tax bill.

Last week Toxteth-based Cains suspended its shares on the Alternative Investment Market after the bank decided not to support its funding plan.

Four days earlier, Cains had reported half-year losses to April of £4.6m. PWC says the company suffered from commodity price rises, the consumer downturn and a fall in pub visits following the smoking ban.

Sudarghara Dusanj said he and his brother were focused on saving the brewery and saving jobs.

He added: “We are hopeful. It’s a good brewery and a good business.”

Administrator David Chubb, of PricewaterhouseCoopers, said his team had spent the past day and a half talking to staff and suppliers to ensure the business keeps running as a going concern.

There have been no immediate redundancies.

Mr Chubb said: “We have had quite a good number of calls

“There are individuals, people interested in single pubs, and corporates who at this stage aren’t saying what they’re interested in.”

Trade paper the Morning Advertiser yesterday quoted an unnamed analyst suggesting Marston’s as the “most likely” buyer for the brewery.

A Marston’s spokesman would not comment on market speculation.

MIKE CHAPPLE ON CAINS: DAY SIX

alistairhoughton