Slug & Lettuce and Be At One owner Stonegate, also known as Britain’s largest pub group, has warned that its £2.2 billion debt pile is putting “material uncertainty” around its ability to continue as a going concern.
Stonegate’s senior secured notes are due in July 2025 and a revolving credit facility expires this September.
“Whilst there is a plan in place for refinancing this debt, as at the date of signing the financial statements there is a risk that exists over the completion of this exercise,” Stonegate said in its annual report.
“Since the refinancing plans haven’t been executed, there is an indication that a material uncertainty exists that may cast significant doubt on the company and group’s ability to continue as a going concern for the going concern assessment period, and therefore that the Company and Group may be unable to realise their assets and discharge their liabilities in the normal course of business.”
The GMB union had flagged debt concerns at the group back in January.
Stonegate owns over 4,400 pubs and bars across the UK and has a managed estate of 799 operating sites (as of September 2023).
It is ultimately owned by Caymans-registered parent company TDR Capital which also owns the ASDA supermarket chain.