Private equity looked set to capture its first FTSE 100 scalp after Alliance Boots signalled its readiness to accept a £10bn indicative offer from its deputy chairman and Kohlberg Kravis Roberts.

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Tom Braithwaite on whether new offer will succeed

The purchase of Boots would be Europe’s largest and the UK’s most high-profile buy-out. It would ensure even greater scrutiny of the private equity industry, which faces growing criticism in Britain.