Big Yellow Group Says it Held Talks Over Options as Blackstone Mulls Bid — Update
By Anthony O. Goriainoff
Big Yellow Group said it met with a small number of parties over a range of options that included a potential sale, after Blackstone said Monday that it was weighing a cash offer for the self-storage provider.
The U.K. company said it hadn't received an approach, nor was it in discussions over its potential sale.
Earlier in the day, shares in Big Yellow Group soared after asset-manager Blackstone said investment funds advised by it or its affiliates were considering their position regarding the self-storage company. The news of the investment giant's potential interest in the U.K. self-storage sector also sent shares in peer Safestore surging.
In late morning trade, London-listed shares in Big Yellow Group were up 17% at 1,132 pence, while Safestore stock was up 12% at 730.50 pence.
Quilter Cheviot analyst Oly Creasey said Blackstone's interest wasn't hugely surprising.
"With approximately 4.5 billion pounds ($6.01 billion) of takeovers and mergers already in 2025 year to date, it is clear that private bidders see considerable value in U.K. real estate investment trusts, the vast majority of which are trading at values well below those of the underlying assets," Creasey said.
Blackstone said its evaluation was at a preliminary stage and that it was considering the macroeconomic environment, including any potential effect from the U.K. government's forthcoming budget plans on the self-storage sector. It said there was no certainty an offer would materialize, or what terms might be proposed.
The asset manager has until Nov. 10 to either make a formal offer for Big Yellow Group or walk away under U.K. stock-market regulations.
Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com
(END) Dow Jones Newswires
October 13, 2025 06:57 ET (10:57 GMT)
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