Frankie & Benny's owner Restaurant Group has bought Brunning & Price, voted 2007 Pub Group of the Year by the Good Pub Guide, for £32 million.

The business operates 14 pub restaurants, mainly in the north-west of England.

It will keep the existing management team to help guide an expansion problem across rural and semi-rural locations.

Five of the existing sites are freehold, with a further one under construction. They are similar propositions to Restaurant Group's Blubeckers chain.

Rival operator Whitbread said yesterday that the pub restaurant sector is softening. Its restaurant business of Beefeater and Brewers Fayre saw operating profit fall 19.6% despite sales growth of 1.5%.

Despite such concerns over the state of the industry, Restaurant Group's shares rose 1% this morning to 294.5p on the acquisition news.