UK: Marston’s to sell its 40% interest in JV to Carlsberg subsidiary

Marston's said it signed an agreement to sell its 40% interest in its brewer joint-venture Carlsberg Marston's to a subsidiary of Carlsberg for 206 million pounds ($264 million) in cash, MarketWatch reported on July 8.

The London-listed pub operator said on July 8 it will become a purely pub-focused business following the divestment, and that net proceeds will be used to reduce debt.

Marston's said the sale will speed up the process of it achieving its medium-term target of less than GBP1 billion of net debt. Pro forma adjusted net debt--which strips out exceptional and other one-off items--in March was around GBP959 million.

Marston's said the long-term brand distribution agreement with CMBC will remain.

The deal is expected to be completed before the end of September.