The UK's largest pub operator, Mitchells & Butlers Plc, is reportedly considering a move to acquire the pubs and hotels business of leading UK brewer, Scottish and Newcastle (S&N), according to a report from Reuters.

Michells & Butler, which was formed by a demerger from the Six Continents group in April, has, according to the report, approached its shareholders to canvass opinion and measure support for a possible bid.

Mitchells & Butler has not commented on the speculation.