One of Punch Taverns' leading shareholders has suggested that the UK pub operator should consider selling off the remainder of its estate and winding down.

Andy Brough, a fund manager at asset management company Schroders, told the Financial Times that the struggling pub group should look to call time on the business in the interests of its investors. Brough told the newspaper: "If net asset value (NAV) is estimated by Merrill Lynch in a recent note at 340p and the share price is at 120p, then doesn't it make sense for the company to sell off its pubs, pay back its debts and return whatever is left to shareholders?"

However, a spokesperson for Punch Taverns said it was committed to working with its shareholders to achieve a shared aim of reducing the gap between its NAV and its share price. In a statement, Punch Taverns said: "We are working hard to realise value - we have been proactively selling assets and buying back discounted debt - and have now paid down more than £1bn of debt this year.

"[The company is] looking forward to discussing progress with our shareholders when we announce our results and we are always interested in their views."