Walkabout owner sale talks flop

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Shares in the firm which owns Jongleurs comedy clubs and Walkabout bars slumped by about 25% after it said talks with a potential suitor had collapsed.

Investors were hit with a double whammy after Regent Inns also warned it would make "minimal" profit this year.

The firm said the difficult trading conditions and higher taxes on alcohol had been behind falling sales.

Regent said it would be selling some properties and axing jobs as it sought to reduce its debt and cut costs.

Since January, Regent had been in talks with US buyout specialist Sun Capital Partners, while nightclub operator Brook Leisure was also thought to be interested.

However, Regent said that credit market woes had made it difficult for potential buyers to raise cash.

Regent has 63 outlets in its Jongleurs and Australian-themed Walkabout estate and another 31 restaurants branded as Old Orleans.

By noon, its shares were down 24.6% to 4.9 pence each having reached as high as 82p in September.