Pizza profits have been falling

The former owner of Pizza Express has pulled out of the battle to take over the business.

Luke Johnson's Venice Bidder company announced on Friday afternoon that it would not be raising its 367 pence a share offer.

This means its bid has now lapsed leaving the way clear for rival Gondola Express which is backed by the owner of Nando's chicken restaurants.

Last month Gondola tabled an offer of �278m ($446) - or 387p a share - trumping the bid from Venice.

Mr Johnson and his partner, former Pizza Express chief executive Ian Eldridge, said they might raise their offer.

But, in a statement on Friday, they company's current trading conditions had influenced their decision against offering more money.

They pointed to falling sales in the core Pizza Express operation and the Cafe Pasta/Marzano sites moving from growth into decline for the first time.