ell, if you want to see it that way, Clare Short has seen off the Pope. The UN General Assembly was last week assessing the 1994 Cairo population conference, and on Friday it signed up to a deal to cut population growth which includes giving women greater access to abortion services and giving adolescents sex education and contraceptives with no parental strings. The Secretary of State for International Development had personally identified the Vatican as the problem to be confronted if women are to emerge into the bright new dawn of reproductive health. A number of brokers have recently upgraded their recommendations for the stock, including Merrill Lynch, Dresdner Kleinwort Benson and Credit Suisse First Boston.. Nevertheless, Pilkington's share price has struggled to break through the 100p barrier, fuelling speculation that bidders remain interested in an approach.The City has belatedly begun to recognise the value represented by Pilkington shares.

Since taking over two years ago, he has cut the workforce by almost 8,000 people, contributing to annual cost savings of pounds 160m.Last month, he unveiled plant closures in the US and Germany which - coupled with other savings - would account for another 2,500 jobs.Results for 1998 showed pre-tax profits of pounds 118m, up from pounds 105m for the previous year, despite the underlying weakness in some of Pilkington's most important markets, notably South America. However, St Gobain would be permitted to take control of certain parts of Pilkington's business, such as its South American operations, should a private equity buyer decide to break up the company.Paulo Scaroni, Pilkington's chief executive, has won widespread admiration for his stewarding of Pilkington. St Gobain was cited as the most likely bidder, but the European Commission is said to have indicated that the French company would be barred from executing such a deal. "A financial buyer would expect to get out at nearer 320p a share," he added.Previous takeover speculation has centred on the prospect of a trade buyer launching a bid. They are just waiting for another dip in the share price which usually happens in July when the building products market is typically weak."The analyst estimated that a likely bid would be worth 120p a share, a 32 per cent premium on Friday's close. The most likely buyers are thought to be American buy-out specialists like Kohlberg Kravis Roberts (KKR) and Hicks, Muse, Tate & Furst.

Both would have the firepower to contemplate a deal of this magnitude.Last year, KKR paid pounds 951m for Willis Corroon, the UK insurance group, while Hicks, Muse recently completed the pounds 822m takeover of Hillsdown, the British food group.One analyst said: "Venture capitalists are looking at Pilkington and see a company with excellent cash flow which the market price does not reflect. A price was agreed with Schroders, the merchant bank which advises Pilkington, but a sudden improvement in Pilkington's share price put paid to the deal. The approach was one of about half a dozen that Pilkington received from financial buyers, a source close to the company said. Although Pilkington shares have risen since to close on Friday at 91p, some industry analysts believe that an approach from a private equity group is once again imminent. Sir Nigel Rudd, Pilkington's chairman, is said to have come close to a deal with a private equity consortium earlier this year when the company's shares were close to this year's low of 48p. PILKINGTON is being circled by a clutch of venture capitalists eager to take the glass manufacturer private in a deal likely to be worth at least pounds 1.3bn.