London-based brewer and pub operator Fuller, Smith & Turner has sold its Brigstow Hotel in Bristol for £17.1m to Pedersen Hotels.

Accor has been selected to manage the four-star hotel under the Mercure brand on behalf of Pedersen.

Fullers recently acquired Hampshire-based brewer Gales for £91.8m, which chief executive Michael Turner said provided the company with an opportunity to review its estate “with a view to selectively unlocking value from our significant asset base.

“The disposal of the Brigstow will allow us to realise substantial value for our shareholders while maintaining our focus on our core offering and our strategy of long-term growth,” he added.

The funds raised from the hotel sale will be used in the medium term to acquire additional sites for the Fullers estate, which currently comprises 361 pubs and hotels, and in the short term to reduce debt.

The deal is expected to close by the end of this month. Details: www.fullers.co.uk