Piedmont, the investment vehicle controlled by Bahamas-based billionaire Joe Lewis, said it has not ruled out raising its offer for Mitchells and Butlers, the British owner of the All Bar One pub chain.

Mitchells and Butlers is backed by Irish racehorse magnates John Magnier and JP McManus who hold a 20 per cent stake. Former Superquinn chief executive Simon Burke stepped down as group chairman in July.

A spokesman for Mr Magnier and Mr McManus’s Elpida Group investment vehicle declined to comment.

Shares in Mitchells and Butlers closed up 2.9 per cent in London, giving the company a market value of £1.1 billion (€1.25 billion).

Piedmont, which already owns 22.8 per cent of the pub chain, said this week it was considering an offer for the rest of the group at 230p a share, which Mitchells rejected.

Mr Lewis is reportedly mulling over his options aboard his yacht moored by Tower Bridge on London’s river Thames. – (Bloomberg)