Peel in pole position in £96m battle for takeover of film studio

Pinewood Shepperton, the film studio group behind James Bond and Pirates of the Caribbean, has agreed a £96 million takeover by its largest shareholder.

Property tycoon John Whittaker's firm Peel Holdings yesterday added 8m to its offer for the company in a bid to ward off a late challenge from billionaire Mohamed al-Fayed.

The 75-year-old studio recommended the 200p-per-share cash offer, with shareholders also receiving a final dividend of 2.5p a share.

Analysts say there is still an outside chance of a rival offer emerging, although the second largest shareholder, Crystal Amber Fund, has made clear that would have to be in excess of 250p-a-share.

Pinewood is planning an ambitious 20m expansion at its studios in Buckinghamshire to match Hollywood.