Punch is the UK's largest pub chain

It is buying Mill House's 82-strong portfolio of pubs, restaurants and hotels across England and Wales from the Bank of Scotland.

Punch, which has more than 9,500 outlets, said the acquisition fitted in with its ongoing growth strategy.

Its takeover of Mill House comes nine months after it agreed to buy rival pub group Spirit for �2.7bn.

Due to release its full-year results on 9 November, Punch said it had continued to trade in line with expectations.

Back in May, Punch announced a 53% rise in half-year sales.

Mill House has been in business for more than 10 years.