Meridien offer raised to pounds 230m

FORTE turned its attention yesterday to a deal which insiders believe is much more important to its chairman's ambitions than the highly publicised battle for the Savoy, writes Tom Stevenson.

The group is understood to have increased its offer for the Meridien chain in France to Fr1.9bn ( pounds 230m) ahead of tomorrow's board meeting of its main shareholder, Air France.

The offer is believed to be at least Fr200m more than a rival bid from Accor, the French hotels group. Despite attempts by Accor to persuade Air France to sell to a fellow French company, Christian Blanc, Air France chairman, is known to favour the highest bid on the table.

Accor is thought to have stepped up its lobbying of government ministers in recent days.