Morrisons a bid target?

There is speculation that value grocer Morrisons could become the next buy-out target because of sharp share price increases. The shares rose nearly 6 per cent on Friday and have edged up further since.

The supermarket chain owns about£6 billion of property that could be sold and then leased back to finance a buy-out.

According to some city analysts, if a bid for Sainsbury's does not materialise, Morrisons could become the next focus for private equity groups.