Rolls-Royce and Daimler launch bid

Rolls-Royce and Daimler have launched an official €3.2bn (£3.4bn) bid for diesel-engine maker Tognum, yet investors were hoping for more after rumours of the pending deal emerged last month.

Engine Holding, a joint venture between the suitors, has offered €24 a share for the group, a 30 per cent premium to its price the day before takeover chat first emerged. Tognum's executive and supervisory boards are expected to comment publicly after a meeting later this month.