There is a pleasing circularity about today’s appointment of Ian Payne as executive chairman of the Laurel Pub Company. Mr Payne was chief executive of Laurel when it was set up in 2001 by Morgan Grenfell Private Equity as the vehicle for the £1.63 billion acquisition of Whitbread’s 3,000 pubs.
Over the next three years, most of the pubs were sold off, leaving Laurel with an estate of 180 high street bars. When that too was put up for sale, Mr Payne put together a management buyout, but was defeated by R20, the investment vehicle of Robert Tchenguiz, the property entrepreneur.
Since then, R20 has doubled Laurel in size through the purchases of Yates Group and 98 pubs from SFI Group, on each occasion defeating Mr Payne. Ironically, when
Mr Tchenguiz hired him to lead a bid in the £2.7 billion auction of Spirit Group at the end of last year, they lost to Punch Taverns.
Mr Payne, who will work three days a week at Laurel, takes over as chairman from Chris Hutt, who with Julian Sargeson, chief executive, oversaw the successful integration of Yates and SFI, creating a group with 410 sites, including the Hogshead, Litten Tree and Slug and Lettuce brands.
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Mr Payne said that although some rationalisation was needed, his role would be to expand Laurel through acquisition. He said he would be interested in any Spirit pubs that Punch might sell off, adding: “I see no reason why we can’t get to 1,000 pubs.”
The 52-year-old is a former chief executive of Ladbroke Casinos and has worked for Guinness, Bass and Stakis Casinos. He plays golf, owns three racehorses and is an Aston Villa season ticket holder.