UK - Pret in private equity sights

Sandwich shop chain Pret A Manger has had unsolicited approaches from Lion Capital, Bridgepoint and PPM according to press reports over the weekend. Pret was prepping for an IPO, after hiring investment bank NM Rothschild early this year to advise on an exit strategy. It was believed that the initial plan was to float 20-30% of the business before the end of the year. Pret is majority owned by founders Julian Metcalfe and Sinclair Beecham. McDonald's owns 33% of the company and is expected to divest its stake in the event of a flotation. The sandwich chain has more than 200 stores in the UK and has successfully expanded into the US, with 11 outlets in New York.