Britvic suspends £75m share buyback after Carlsberg offer

In a brief statement, the drinks company said it was suspending the buyback - which was announced on 3 June - at the close of trading on Tuesday.

"The board will evaluate recommencement of the programme should the circumstances change," it said.

Britvic announced last week that it had rejected two proposals from Carlsberg, one at 1,200p per share and another at 1,250p.

On Monday, Carlsberg said that PepsiCo had agreed to waive the change of control clause in the bottling arrangements it has with Britvic, removing a potential challenge for Carslberg.

Responding to press speculation over the weekend, Carlsberg said: "This waiver will come into effect should an acquisition of Britvic by Carlsberg, which has the recommendation of Britvic's board, proceed to completion."

Carlsberg said it was considering its position.

At 1355 BST, Britvic shares were down 0.9% at 1,161p.