LONDON (ShareCast) - (Sharecast News) - Pubs and hotels group Fuller, Smith & Turner has announced the sale of 37 pubs to Admiral Taverns for £18.3m as it looks to bolster its balance sheet.

The sale, which came at a £1.6 premium to the estimated gross asset value of £16.7m, disposes of a portfolio that generated £1.3m in pre-tax profits in the most recent financial year.

The deal leaves the Fuller's with 154 pub within its Tenanted Inns Division along with 179 properties in its Managed Pubs and Hotels Division.

Fuller's said the proceeds would be used to strengthen its balance sheet and enable additional investment in its pubs, as well as supporting future acquisition opportunities.

"Fuller's is committed to owning and operating both managed and tenanted pubs as an integral part of the Ccompany's future strategy," the company said in a statement.

"However, the company proactively manages its pub estate, continually evaluating strategic opportunities and believes that the disposal of this portfolio to Admiral allows the company to focus on the development of its retained managed and tenanted estates."

The stock was down 0.3% at 708p by 0858 BST.

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