PRESS DIGEST - British business - April 10

The Times

PRIVATE EQUITY FIRMS TRY TO TAKE 29.9 PERCENT STAKE IN M&B

CVC Capital Partners and Blackstone Group have made a joint proposal to Mitchells & Butlers (MAB.L) to buy a stake of up to 29.9 percent in the restaurant and pub operator. Such a move would provide the operator with the fuel to drive its ambitious expansion plans. One analyst said the tone of Wednesday's trading update from M&B was "clearly designed to persuade suitors to sharpen their pencils".

RBS LAYS OFF 200 STAFF IN GLOBAL BANKING AND MARKETS

Royal Bank of Scotland (RBS.L) has axed 200 jobs in its global banking and markets business this week. The staff were dismissed primarily in RBS's leveraged finance, real estate lending and securitisation operations. The decision is thought to highlight the continued downturn in the global financial markets rather than being due to the bank's merger with ABN Amro.

The Daily Telegraph

BAUGUR TELLS RIVAL MOSS TO GET KNOTTED

Baugur is likely to go ahead with its bid for Moss Bros (MOSB.L) at the end of April, even though it was approached to sell its 29 percent stake in the retailer. Jon Asgeir Johannesson, Baugur's executive chairman, revealed that despite economic issues facing Iceland, the acquisition strategy of the company will remain unchanged. Johannesson said: "We are currently in the mood to buy the business, not to sell."

WEAK MARKETS DRAG CHARLEMAGNE DOWN

Charlemagne (CHAR.L) has suffered a 15 percent first-quarter slump in the value of its funds under management. The group said it had 2.8 billion pounds in assets under management at the end of last month. The amount is down from 6.5 billion dollars at the start of the quarter. The London investment house believes the decrease was driven by poor performance of markets rather than a flight from funds by its investors.

The Independent

A&L RAISES FIXED-RATE DEALS AS MPC CONSIDERS RATE CUTS

Alliance & Leicester ALLL.L, despite expectations that the Bank of England's Monetary Policy Committee will cut base rates, is considering increasing the cost of its fixed-rate mortgages for the second time in a week. A spokesman for A&L said: "Since we announced our price rises, our major competitors have increased their prices further and rates are moving very fast."

SAINSBURY'S RETAIL CHIEF JOINS GREGGS

Greggs (GRG.L) appointed Ken McMeikan as its new chief executive. McMeikan is the current retail director at supermarket group J Sainsbury (SBRY.L) and will replace Michael Darrington, who is retiring. Greggs, which sells snacks ranging from sausages rolls to caramel slices, revealed McMeikan would start in June.

SAINSBURY'S LIFTED BY TALK OF FRESH QATARI MOVE