Shares in Sainsbury's rose 10p to finish on 582.5p yesterday amid continuing takeover speculation.

Rumours in the City suggested the Sainsbury family was planning to sell some of its 18% stake in the supermarket chain ahead of a possible 610p-a-share bid.

Investors have speculated that Qatari-backed property investment group Delta Two, which upped its stake in Sainsbury's to 25% earlier this month, could be preparing a bid for the retailer.