AS the deadline for media and leisure group Granada's hostile bid for hotel and catering empire Forte drew closer, analysts said the scales were tipped narrowly in Granada's favour.

Both companies are expected to spend much of the time before the January 23rd closing date for the £3.9 billion sterling, offer seeking to win over institutional investors.

The position of Mercury Asset Management will be pivotal as the group is Forte's largest shareholder, with a stake of some 14.5 per cent, and has a similar holding in Granada.

Most analysts say they believe Granada will emerge victorious though they say it could be tight.