Scottish & Newcastle has announced that S&N Pub Enterprises (S&NPE), the leased Pub Company of Scottish Courage, has agreed a deal to run an additional 364 pubs in the UK. The pubs are being sold by Spirit Group and have been bought by a newly-formed company, Globe Pub Company, which has appointed S&NPE to manage the outlets on its behalf.

The deal, valued at approximately £345m, will increase the number of leased pubs being run by S&NPE to around 1500. The acquisition is unconditional and will complete on Sunday (12 December).

As part of the agreement Scottish Courage has also secured a full beer supply agreement for the 364 pubs. This new distribution will add around 100,000 incremental barrels as well as securing an existing 30,000 barrels for our brands.

In a statement, John Dunsmore, chairman of Scottish Courage said: "The combination of S&NPE's proven strength in leased pubs and Scottish Courage's unrivalled portfolio of brands has enabled us to achieve this significant business win."

Lehman Brothers acted as financial advisor to Scottish & Newcastle and the Globe Pub Company in this transaction.