Shares in Morgan Crucible fell nearly 8% after the UK ceramics and carbon group, which in August revealed a preliminary approach from a suitor thought to be Credit Suisse's private equity arm, said talks have ceased without an offer being tabled.

Morgan Crucible said in a statement to the stock exchange yesterday afternoon: "On August 7, the company announced it had received a preliminary approach that may or may not lead to a cash offer being made for the company. Discussions in relation to this approach have now terminated."