Punch Taverns in plan to slash debt pile

The embattled pubs company Punch Taverns has launched a plan to cut its £2.1bn debt pile. At present, the debt structure is split into two securitised vehicles, Punch A and Punch B.

It said it will use cash resources to cancel certain tranches of Punch B debt and would amend financial covenants in Punch A.

This would cut Punch B's debt by £229m and save the company £463m over five years.