Activist Irenic builds stake in UK's Big Yellow and pushes for sale, FT reports (updated)
UPDATE 1-Activist Irenic builds stake in UK's Big Yellow and pushes for sale, FT reports Updates with Irenic Capital Management and Big Yellow's response, updates share move
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 of the company rose 5.5% to 888 pence by 1446 GMT
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 declined to comment on the report when approached by Reuters
(Reporting by Atharva Singh and Anushka Chourasia in Bengaluru; Editing by Sahal Muhammed)
((Atharva.Singh@thomsonreuters.com;))