Forte talks to City about hotels deal

Advisers to Sir Rocco Forte, who spectacularly lost control of his family hotel and restaurant empire to Granada in a hostile pounds 3.8bn takeover bid last week, were yesterday in further talks with City institutions in an effort to raise finance to buy-back of part of the group.

Granada is seeking to sell some of top hotels, including the Meridien and Exclusive chains, the Waldorf and Grosvenor House, and to dispose of Forte's 68 per cent shareholding in the Savoy Group.

Three US companies, ITT Sheraton, Hilton Hotels and the Marriott Group, are said to be interested in the Savoy. An adviser to Sir Rocco said: "We've had an excellent response."

Saturday story, pages 14 & 15