Eidos, the computer games maker, today warned it was delaying the release of a key title in the run-up to Christmas.

Eidos - best known for its Tomb Raider series - said the computer version of Championship Manager 5 should be released shortly before Christmas, but might not be ready until the New Year.

The game had been due to hit the shops this month but still needs last-minute technical adjustments, a spokesman said.

The announcement came as the group confirmed it was still in talks that could lead to it being taken over.

Eidos said earlier this year that it was in talks with potential buyers after a slump in the games market forced it into the red in the last financial year.

The company added that the XBox and PlayStation 2 console versions of Championship Manager 5 were still firmly on track for release this spring. The online version will be available shortly after the computer version is released.

The first version of the fantasy football game has sold more than 5 million copies since it was created in 1992.

Eidos employs more than 270 people in the UK at a publishing division in Derby, a development resource centre in north London and at its Wimbledon headquarters.

It blamed disappointing sales in the United States and the delayed release of another game for annual losses of £2 million in the year to June 30.

This marked a significant reversal of fortunes on the previous year, when it posted profits of £17.4 million.

Shares slipped by 0.5p to 92p today as investors welcomed confirmation that Eidos was still in takeover talks.

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