Sainsburys' Deal Off

Delta Two the Qatari investment group has cancelled its bid to take over Sainsburys' citing turmoil in the credit markets.

Delta Two claims that the cost of borrowing has risen significantly since it first made its 600p per share offer.

Sainsbury shares fell 18% to 454p in early trading on the news.

The credit crunch is now proving to be the convenient excuse of choice for those wishing to change their minds in respect of deals and business agreements.

Posted in: credit crunch,credit squeeze,debt,Sainsburys'