Catch up with all the top business stories every week with our newsround digest
The Sunday Times
LDV, the Midlands van maker, is in talks to secure additional financing from a white knight investor after production stopped over a week ago while surplus stock was cleared. The business, that employs more than 1000 people, is one of the last British-owned automotive companies in the Midlands. It is believed that they are in talks with an American venture-capital group.
The engineering group Doncaster could be the latest company to succumb to the wave of Middle East takeovers sweeping British business. Dubai International Capital (DIC), owner of the Madame Tussauds waxwork, is in the final round of bidding for Doncaster, which makes components for the new A380 Airbus.
The Mail on Sunday
Halfords are demanding tough new payment terms from suppliers in a move that could spark a major inquiry from the Office of Fair Trading into its dominance of the sector. The car parts and bicycle retailer has told suppliers they will now be paid 120 days after invoicing the company instead of the present 90 days, which itself is considered excessive.
Australia’s Macquarie Bank is planning an improved offer for the London Stock Exchange of almost £7 a share. Officials of the Sydney based bank are locked in talks with LSE’s main shareholders, their current bid would value the bank at £1.8 billion.
The Observer
David Cameron, the new leader of the Conservative Party, is to embark on a charm offensive of British business in an attempt to tackle the view that the Conservatives take the corporate vote for granted. Cameron is understood to have contacted the Confederation of British Industry after his leadership victory to arrange a meeting with its presidents 40-strong committee, which includes some of the UK’s most senior business figures.
Sir Richard Branson will net more than £100 million over 10 years by allowing cable firm NTL to use the Virgin brand. The entrepreneur is also planning to cash in on 10 percent of his 72 percent stake in Virgin Mobile, which is to be acquired by NTL for about £900m.
The Sunday Telegraph
Sir Tom Hunter, the Scottish entrepreneur, is on the verge of terminating his long-term relationship as a private client of UBS, the Swiss bank. This is due to a court case that has pitched him against Jon Wood, a managing director of the bank. Hunter is thought to have invested £100 million with the bank but is now keen to withdraw his money.
Asda, the supermarket owned by Wal-Mart, the world’s biggest retailer, will unveil a new energy efficient store format next-year in a bid to bolster its green credentials. The retailer will apply for planning permission to install wind turbines at six of its UK distribution centres at a cost of £9m.
The Business
Tony Blair has been warned by the European Commission that failure by him to broker a budget deal at the Brussels summit will lead to a ‘self-destructive scenario’ putting European Union departments at war with each other. The Prime Minister, who currently holds the European Council Presidency, has been told by the Commission that failure to agree a deal will protect farm subsidies but threaten development funds to eastern Europe.
Chancellor Gordon Brown has more than doubled his forecast for public sector inflation this year in a dramatic admission that his war on waste has failed. Public sector inflation is officially forecast to hit 4.9% this year, up from 2.3% at the time of the Budget. This means 75% of the extra spending will go on wages and costs rather than increasing the volume of services.
