ICI shares rise after Azko sale

Takeover speculation surrounding chemicals giant ICI was fuelled today by a major fund-raising deal involving a potential suitor.

Shares in the Dulux paints maker surged 6% after Netherlands-based Akzo Nobel said it had agreed to sell its pharmaceuticals unit Organon BioSciences to Schering-Plough for €1bn.

Analysts took the view that the move by Akzo Nobel gave it the firepower to buy ICI, which was worth £5.5bn (€8bn) at the start of trading today.