PRESS DIGEST - British business - July 19

The Times

Speculation is rising that Cape Lambert Iron Ore (CFE.AX) may receive a bid from Evraz (HK1q.L) which has built up a 19 per cent stake in the Australian iron ore miner. Cape said that it had met Evraz representatives in Singapore but had nothing to tell shareholders 'at this time'. If Evraz wishes to secure iron ore for its steel furnaces, it will need to bid before July 28 when Cape's shareholders approve the sale of its main asset, its Australian iron ore deposit, for 195 million pounds to CMC. Shares in Cape closed at 40.5 pence, up two pence.

RUMOUR OF THE DAY

Coffeeheaven saw its shares rise 2.5 pence to 41.25 pence on Friday on talk of a bid in the region of 57 of 58 pence next week. The chief executive of the Eastern European coffee shop chain has been quoted as saying he was unaware of a bid, but Howard Schultz, Starbucks (SBUX.O) chairman, was recently seen in a Coffeeheaven, it is also thought that Caffe Nero may be interested.

TIDDLER TO WATCH