Lawfuel – The Law Newswire – Liverpool – DLA Piper has advised the Ban…

Lawfuel – The Law Newswire – Liverpool – DLA Piper has advised the Bank of Scotland on its £40 million funding of a deal that will see Cains Brewery join the Alternative Investment Market (“AIM”) through the completion of a reverse takeover of Honeycombe Leisure Plc (“Honeycombe”).

Robert Cain & Co will be subsumed by Honeycombe in a deal that values the enlarged company at about £37 million, including debt and loan stock.

The deal is believed to be the first stock market listing by a regional brewer since Scotland’s Belhaven in 1996. It is expected to that the group will now change its name to the Cains Beer Company.

Andrew Noon, a banking partner at DLA Piper’s Liverpool office commented: “AIM has matured into one of the world’s preferred markets to tap investors for money, but very few Liverpool companies have got in on the act. Perhaps Cains will encourage others to follow suit.”

About £2.5 million will be injected into the business in the form of loan stock, while Honeycombe will raise a similar sum through a share placing, giving the company about £5 million of new funds for investment. The market capitalisation of the enlarged group will be about £7.5 million.

Halliwells advised Cains Brewery and its shareholders, the brothers Ajmail and Sudargahara Dusanj. Pinsent Mason advised Honeycombe Leisure plc.

ENDS

For further information:
Claire Lees, Media Relations, DLA Piper, Tel: +44 (0)20 7796 6176 or email [email protected]

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