Reuben vehicle out of Jurys race

The Takeover Panel has told Aldersgate, the vehicle led by Simon Reuben, that it cannot bid for Jurys Doyle.

In a statement to the Stock Exchange yesterday, the panel said it had decided that Aldersgate was a "co-offeror" with Precinct, the consortium that abandoned a takeover approach at the end of last month.

This means that Aldersgate is precluded from bidding for Jurys for another year, thus ruling Mr Reuben out of any imminent move.

The decision has narrowed the field at Jurys to two players: Sean Dunne and the Doyle-led consortium that has made an approach at €18.90 per share.

While Mr Dunne would find it difficult to bid for Jurys on his own, he could seek backing from a party that has not surfaced in the process, such as a private-equity group.

Sources suggest Mr Dunne could do a deal with a private-equity player that would allow him to secure control over the various Jurys sites, while allowing the partner to take the Jurys Inns.

This would, however, be expensive for the developer, since private equity houses are known for their ability to squeeze value out of all propositions.

A number of private equity groups are known to be monitoring developments at Jurys, with Blackstone, Orion and Cinven all thought to be examining the process.

Any private equity player that chooses to get involved will require an appetite for sturdy negotiations, with the Doyle and Beatty families unlikely to walk away from their own approach without a fight. Together with Jurys director Elizabeth Nelson, the families own 42 per cent of the company.

Liam Carroll, who owns 8.3 per cent, remains in the background and could be a kingmaker.

Shares in the hotel group climbed by three cent to €18.55 yesterday. They touched a high of €19.00.