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Blackstone considers a cash bid for UK storage firm Big Yellow; stock soars

Blackstone announced on Monday that it is in the preliminary stages of evaluating a potential cash offer for the self-storage firm Big Yellow Group. Shares of the London listed company rose by up to 21%.

The Big Yellow Group shares rose to 1,166 pence - the highest since November 2024 - giving it a valuation of 2,29 billion pounds (3,05 billion dollars).

Big Yellow Group has 111 storage units in London and across the UK. It is the UK's latest takeover target, attracted by its relatively low valuation.

The European subsidiary said that its evaluation of Big Yellow is at an early stage. It was also weighing macroeconomics factors, such as the possible impact of the UK budget due next month on self-storage.

Private equity firms have until November 10 to either make a firm bid or withdraw.

The shares of Big Yellow Group, which have fallen by about 21% in the last year, are on track to achieve their largest one-day percentage increase ever.

(source: Reuters)