PRESS DIGEST - British business - June 25

The Times

BRADFORD & BINGLEY READY TO OPEN BOOKS AFTER COWDERY REVISES OFFER

Mortgage bank Bradford & Bingley BB.L looks poised to agree to open its books to Resolution after a revised 400 million pound bail-out proposal was tabled by Clive Cowdery's investment vehicle. It is understood Rod Kent, chairman of the buy-to-let lender, will convene a board meeting on Wednesday at which the management will grant Resolution identical due diligence terms to those given to TPG, the U.S. buyout firm whose proposal to pay 179 million pounds for a 23 percent stake in B&B currently has the board's backing.

DEBENHAMS IN CALL FOR GREATER VIGILANCE ON CHILD LABOUR

Debenhams (DEB.L) reacted on Tuesday to reports that suppliers of Primark had children working for them by calling for greater vigilance from clothing retailers in monitoring their suppliers. Rob Templeman, chief executive, said: "What's happened with Primark is a lesson for everybody. You have to make sure if you have sequin or embroidery work carried out that it's being done in the factory and not outsourced. It is very, very hard to police but you've got to be vigilant." The BBC's Panorama programme discovered that children in India as young as 11 were carrying out work on Primark clothing.

DUBAI SOVEREIGN WEALTH FUND SHUNS PARTNERS IN 1.4 BILLION POUND RACE FOR TRILLIUM

Dubai's sovereign wealth fund has ruled out making a joint offer for Trillium, the 1.4 billion pound property outsourcing division of Land Securities (LAND.L), and is now expected to table an individual bid. Investment Corporation of Dubai had been the cash backer of an approach for Trillium by property entrepreneur Victor Tchenguiz and aAIM, the property fund manager part-owned by HBOS HBOS.L. But rifts between the parties derailed the plan, with ICD opting to mount the bid on its own, sources said. Final bids are due on Friday.

The Daily Telegraph

BG MAKES 6.7 BILLION POUND PITCH FOR ORIGIN

The British gas giant BG Group (BG.L) has gone hostile in its attempt to buy Origin Energy (ORG.AX), making an off-market 13.8 billion Australian dollar (6.7 billion pound) offer directly to shareholders. BG offered investors in the Australian energy producer and retailer 15.50 Australian dollars a share -- the same price it offered in a friendly proposal that Origin's board ultimately rejected late last month. The bid represented a "full and fair value" offer, said BG chief executive Frank Chapman. Origin issued a statement advising shareholders "that they should take no action in relation to the offer or any documents they receive from BG at this stage".

DEBENHAMS' SUNNY OUTLOOK AIMED AT ENDING RUMOURS

Debenhams (DEB.L) brought forward a trading statement it was due to make next week in an attempt to end speculation about its financial strength, reporting a one percent rise in like-for-like sales in the 10 weeks to June 21. The update was better-than-expected and the shares closed up three percent at 43.5 pence. However a number of analysts downgraded their profit forecasts. In a note to clients, Tony Shiret of Credit Suisse said: "While, ostensibly, trading has provided relief from the market's worst fears, there continues to be a profit forecast slippage and we are making further material profit forecast downgrades."

PUNCH PLAYS DOWN FEARS OVER DEBT

The UK's biggest pub operator Punch Taverns (PUB.L) brought forward its trading statement in an effort to play down fears that it would have to restructure its debt. On Tuesday, its shares suffered their biggest one-day fall since the company's flotation in 2002. The share price fell to 279.25 pence before recovering to 318.25 pence, having opened at 342.5 pence. Giles Thorley, chief executive, blamed the volatility on short-selling and a "concerted effort by a couple of analysts" to misrepresent the company's health. Punch assured investors it "has more than sufficient funds to meet its corporate needs and does not anticipate any refinancing needs before December 2010".

The Independent

KESA DEFERS SHARE BUY-BACK AND PREDICTS "UNSTABLE MARKET"