Activist Irenic builds stake in UK's Big Yellow and pushes for sale, FT reports
Activist Irenic builds stake in UK's Big Yellow and pushes for sale, FT reports Oct 15 (Reuters) - Activist investor Irenic Capital Management has built a stake of about 4% in UK self-storage company Big Yellow Group BYG.L and is pushing it to explore a sale, the Financial Times reported on Thursday, citing people familiar with the matter.
The report comes days after Ancora Holdings revealed a stake of over 4% and also called on the company to explore a sale.
Irenic has pressed the board to explore strategic options, including a sale, arguing the company's shares are undervalued, the FT reported
Shares in the company, down about 18% year-to-date, rose 3.3% to 870 pence by 1118 GMT following the report
Big Yellow last year received takeover interest from Blackstone BX.N, but talks ended without a deal
The self-storage company said on Thursday before the report that it is evaluating all options to maximise shareholder value while remaining focused on its long-term growth strategy
The FT said the company could attract interest from private equity firms and strategic buyers in a formal sale process
Irenic Capital Management and Big Yellow did not immediately respond to Reuters requests for comment
(Reporting by Atharva Singh in Bengaluru; Editing by Sahal Muhammed)
((Atharva.Singh@thomsonreuters.com;))