Racing tycoons John Magnier and JP McManus have boosted their shareholding in British pub group, Mitchells & Butlers, to 4 per cent.
The duo bought 3.4 per cent of the group two weeks ago, and it emerged yesterday that they have since increased this to 4 per cent.
There was speculation yesterday that the move is a property play. The company's share price is cheap relative to the value of its properties.
Mitchells & Butlers operates chains of themed pubs and restaurants such as Flares Bars,O'Neill's Irish pubs and Browns bar and restaurants. It has a presence in most of the UK's major population centres. The group's property has been the subject of some speculation recently.
Stock market turmoil and the credit squeeze forced the group to postpone plans to float off its properties into a separate company. In addition, 19 per cent shareholder Iranian billionaire, Robert Tchenguiz, was said to be putting pressure on the group to do a deal with its properties.
Mr Magnier is the principal of Coolmore Stud, the racehorse breeding operation which is headquartered in Tipperary. Mr McManus is known for his ownership of a range of national hunt stars and his business activities include currency dealing and investment.
