Vodafone's bid for Mannesmann, the German telecoms group, broke through the £100bn barrier as investor confidence that it would win its battle sent its shares and those of its prey soaring, writes David Gow.

Nearly half a billion Vodafone shares changed hands, enabling the stock to close 6% up at 359.25p. In Frankfurt Mannesmann shares also closed almost 6% up at €296.30 (£178).

The "see-thru" value of Vodafone's bid is €321, not far short of the €350 value placed on the group in its current form by chief executive Klaus Esser.