(Reuters) -Blackstone said on Monday it was in the early stages of considering a possible cash offer for self-storage company Big Yellow Group, sending shares of the London-listed firm higher by as much as 21%.
Shares in Big Yellow Group rose to their highest level since November 2024 at 1,166 pence, giving it a market valuation of 2.29 billion pounds ($3.05 billion).
Big Yellow Group, which has about 111 storage facilities across London and the UK, is the latest takeover target in the UK which has attracted buyers due to relatively cheap valuations.
The European subsidiary of Blackstone said its evaluation of Big Yellow was at a preliminary stage and that it was weighing macroeconomic factors, including the potential impact of the upcoming UK budget next month on the self-storage sector.
The private equity firm has a November 10 deadline to make a firm offer or walk away.
Big Yellow Group’s shares, which had fallen about 21% over the past year, were headed for their biggest one-day percentage gain ever.
($1 = 0.7510 pounds)
(Reporting by Ankita Bora in Bengaluru; Editing by Sumana Nandy)
