WOLVERHAMPTON & Dudley, a predator in the brewery sector last year, has become the prey, with private equity group Botts lining up a takeover bid.

Wolves, which employs around 180 staff at the famous Camerons Lion Brewery in Hartlepool, spent more than £500m snapping up Marston Thompson and Evershed and Mansfield Breweries.

Botts is believed to be working with pubs and restaurant company Noble House Leisure on a deal. Noble House owns theme-bar restaurant chain Tapin Taverns, which runs bars in the London, Brighton and Oxford areas.

The announcement comes just months after W&D revealed that margins in its pubs had come under pressure. The company said it had been hit by stronger competition on the high street.

Camerons is the only W&D brewery to be running at full capacity.

It currently brews around 450,000 barrels of lager a year.

W&D has been at the centre of consolidation in the brewing sector.

In May, W&D posted a 67 per cent jump in half-year sales, frothed up by the acquisitions of the Marston and Mansfield groups.

Wolves, which last year spent £285m buying Marston Thompson & Evershed and £251m snapping up Mansfield Breweries, said sales for the six months to April 1 had jumped from £166.5m to £277.3m. Pre-tax profits rose from £12.4m last time to £17.3m.

In March the Lion Brewery celebrated brewing its billionth pint of Strongarm ale, the flagship sup first brewed at the in 1954.

David Thompson, managing director of W&DB, said no offer had yet been made and therefore he could not comment further.

W&D shares were up 80p yesterday, closing at 455p