Nightcap quells Revolution Bars acquisition rumours
The board considers that certain brands of Revolution Bars could be ‘an excellent addition to Nightcap's existing portfolio of brands’
Nightcap has released a response to speculation that it is planning to acquire Revolution Bars Group, following its documented struggles with debt.
Early in April, Revolution Bars suspended trading of its shares on AIM after it failed to publish its yearly fiscal results.
Rob Pitcher, the CEO of Revolution Bars, attributed a range of factors, including the cost-of-living crisis, to the company’s reduced sales.
Nightcap has confirmed that it is assessing a number of possible options, which could include the acquisition of certain Revolution Bars; the acquisition of certain operating subsidiaries; a possible share for share offer for the entire issued and to be issued share capital; the acquisition of certain brands; or the acquisition of certain assets.
Nightcap’s evaluation of its options is currently at a “relatively early” stage.
According to Nighcap’s board, assessing these possible options are in line with the company’s ambition to create the UK’s “leading bar group” by consolidating the drinks-led premium bar segment of the UK hospitality sector through strategic acquisitions.
As a result, the board considers that certain brands of Revolution Bars could be “an excellent addition to Nightcap’s existing portfolio of brands”.
That said, the board notes that Revolution Bars is currently in a formal sale process pursuant to the takeover code, so Nightcap has decided not to participate in this formal sale process at this time.
