Scottish & Newcastle has entered into discussions with Carlsberg and Heineken about a possible recommended offer of 800p-a-share for the brewer.

S&N has rejected two bids from Carlsberg and Heineken at 750p-a-share and 780p-a-share since October last year, but earlier this week admitted it would be prepared to enter discussions if the offer was at least 800p-a-share.

The three companies have asked the Takeover Panel for its 'put up or shut up' deadline of 21 January to be extended until 24 January so that Carlsberg and Heineken can complete due diligence.

“Shareholders should be aware that there can be no certainty that a formal offer will be made,” S&N added.