Rank is preparing to return up to £300m to investors as part of a review of its capital structure under which the dividend will be slashed by up to30%. The sale of its Deluxe film processing business for £433m will finance a share buyback by chief executive Mike Smith. Offloading the cash-generative film unit leaves Rank as a leisure group with bingo halls, casinos and restaurants. But the Hard Rock Café chain is a minority part of the business, with £28m operating profits in 2004 against £115m for the gaming division. Rank has reportedly already held talks with William Hill and, along with the slightly more attractive Ladbrokes, is almost certain to receive a takeover bid this year. Some analysts, however, believe the current share price is too high. The Sunday Times 01/01/06 (Business) page 3.1 The Mail on Sunday 01/01/06 (Financial Mail) page 6