THE pub operator Punch is on the look-out for acquisitions in the south.

The company, which has in excess of 4,000 pubs nationwide says that the south is set to provide one of its greatest areas of growth in the next few years.

Regional operations director Bill Walker said the company's current portfolio of about 100 pubs stretching from Bournemouth to Chichester and north to Salisbury and Basingstoke would be boosted as part of the company's overall investment and expansion plans.

His comments come as the company reports turnover up six per cent to £392 million with operating profit up nine per cent to £202 million.

Mr Walker said the results were in line with expectations and would enable the company to continue its growth strategy both in terms of acquiring new business and employing more people in the south.

"We are actively focussing on the south.'' said Mr Walker. "There is great potential in this part of the country and our regional director, Jim Johnson is based in Portsmouth and is actively looking for new growth."

Punch chairman and chief executive designate Giles Thorley said: "We have achieved organic growth of more than five per cent, increased the quality of our earnings and improved the quality of our estate," he said. "The quality of Punch's estate comes from over 4,300 individual businesses let to entrepreneurial retailers, with more than 65 per cent of the estate let on long-term leases of up to 30 years.''

During the last year Punch has invested some £67 million acquiring 187 pubs. It sold 46 pubs.