A takeover of British supermarket chain Somerfield moved closer today after the chain agreed to hold talks with potential bidders.

Bidders circling British supermarket chain Somerfield will learn this week if their £1bn-plus offers have gained boardroom support, it was reported today.

British supermarket chain Somerfield today said it had rejected a £1bn (€1.44bn) takeover approach from the acquisitive Iceland-based retail group Baugur.

Private equity firm Permira was today understood to be planning to offer a reduced £850m (€1.2bn) for British retailer WH Smith.

The takeover battle surrounding high street department store Debenhams heated up today as the company agreed a £1.66bn (€2.36bn) offer.

London’s leading shares lost hold of early gains today as traders awaited the Bank of England’s latest interest rates announcement.

London’s leading shares made steady progress in early trading today after an overnight surge on Wall Street took US shares above a key level.

Hopes earlier in the week that share prices were now on an upward curve suffered a blow today as the FTSE 100 Index closed sharply down.

The FTSE 100 Index closed up sharply today trumping earlier fears of another downbeat session.