Cable & Wireless is sweetening its offer for Thus by up to £27m as the two companies work on an agreed takeover that could be recommended to shareholders tomorrow morning.

Talks began late last week after the Scottish telecoms group failed in its quest for a white-knight bidder.

To read this Sunday Times article in full, see business.timesonline.co.uk/tol/business/industry_sectors/telecoms/article4232097.ece.