PRESS DIGEST - British business press - Nov 9

The Times

KRAFT READY TO GO HOSTILE WITH BID FOR CADBURY AS DEADLINE LOOMS

Kraft is poised to commence a hostile takeover bid for British owned rival Cadbury (CBRY.L) on Monday, according to a person familiar with the deal. The American food conglomerate is understood to be finalising plans to go directly to shareholders with an offer of around 720p per share or more, which values the Cadbury at around 10.2 billion pounds. The Cadbury board which will meet on Monday is expected to rebuff Kraft's initial offer and is said to have the support of some key shareholders, who do not want the board to engage with Kraft without an offer in excess of 850 pence a share.

BROKERS UNITE OVER CLAIMS OF BANKS BULLYING THEIR CLIENTS

Three leading City stockbrokers have written to the City minister, Lord Myners, accusing Lloyds Banking Group (LLOY.L) and Royal Bank of Scotland (RBS.L) of corporate bullying by forcing debtors of the banks to use their investment banking services. Tim Linacre, chief executive of Panmure Gordon, Oliver Hemsley, chief executive of Numis, and Alex Snow, chairman of Evolution (EVG.L), say that when a company raises capital through a rights issue, the banks will continue to lend to it only if it uses their brokerage and capital markets units for the deal. RBS declined to comment. Lloyds could not be contacted.

BRIGHTHOUSE SHINES

The hire-purchase furnishing group BrightHouse has reported a 23.7 percent increase in earnings to 14.6 million pounds, before interest, tax and depreciation. The retail chain, owned by the private equity group Vision Capital, said it was on course to open 20 new stores this year with a further 20 next year.

The Daily Telegraph

REFINANCING FOR JEWELLERY EMPIRE