Mitchell & Butlers financing update restores some confidence

Shares in FTSE 250 pub landlord Mitchell & Butlers (LON:MAB) rose by 8.62% to 218.33p (as of 15:25 BST) after it outlined its current financial position. Management said that the full impact of COVID-19 on the business was still uncertain and depends on the duration of the closure period, but the business had put 99% of staff on furlough and delayed all discretionary capital expenditure.

The group has reach unsecured credit agreements totalling £250 million with its relationship banks, including £100 million under the provisions of the Government’s Large Business Interruption Loan Scheme.