PRESS DIGEST - Sunday British business - Oct 28

LONDON Oct 28 (Reuters) - British newspapers reported the following business stories on Sunday:

Sunday Times

MURDOCH TO MAKE LAST-MINUTE APPROACH FOR PENGUIN

Rupert Murdoch, chairman and chief executive of News Corporation, is understood to have indicated he will make a "substantial cash offer" for publisher Penguin, in a last-minute overture to owner Pearson.

If successful, a bid from Murdoch, estimated at around 1 billion pounds ($1.6 billion), could scupper a planned merger between Penguin and publisher Random House, owned by Germany's Bertelsmann.

DAILY MAIL IN TALKS TO SELL REGIONAL PAPERS

The owner of Britain's Daily Mail is in talks to sell off regional papers to former Mirror boss David Montgomery, in a deal valuing the titles at 110 million pounds.

GENT SET TO STAND DOWN FROM GLAXO CHAIR

Pharmaceutical company GlaxoSmithKline Plc has appointed headhunters to search for a successor for Christopher Gent, who has been chairman of the group since 2005.

CATERHAM F1 OWNER PAIRS UP WITH RENAULT

Malaysian tycoon Tony Fernandes, who owns British kit-car maker and Formula One team Caterham and soccer club Queens Park Rangers, is set to announce a deal with Renault to launch two new sports cars.

The Sunday Telegraph

BARCLAYS TO CUT PAY FOR LEADING BANKERS

British bank Barclays is set to cut the salaries of some of its leading investment bankers by as much as 50 percent, following a series of reviews of the future of its investment banking arm.

VIRGIN TRAINS EYES BID FOR EAST COAST RAIL LINE

Virgin Trains is planning to bid to run the East Coast main line when the franchise is put up for tender next year.

The Independent on Sunday

CARNWATH SET TO LEAVE HEDGE FUND MAN GROUP

Alison Carnwath, the former head of Barclays' remuneration committee, is set to resign from the board of Man Group, months after almost a third of shareholders failed to back her.

The Sunday Express

VIRGIN MONEY EYES IPO

Virgin Money founder Richard Branson says the bank could consider a stock market flotation, but sets no date.

RBS APPOINTS ADVISER FOR BRANCH SALE

Royal Bank of Scotland appoints UBS to advise it on disposal of branches to comply with European state aid rules.