BCA Marketplace’s share price has risen sharply following a £1.6bn bid to acquire the company, which BCA subsequently turned down.
On Sunday, BCA Marketplace confirmed an acquisition bid from private equity investor Apax Partners in May, offering 200p per share – a premium of around 11p on the month’s average share price.
On Monday, BCA said it had rejected the initial offer, and had yet to receive a renewed proposal from Apax.
Share price has been rising ever since what BCA called “media speculation” around the bid. It peaked at 236p on Monday, up 22% from a month earlier, and was 229p at the time of writing.
This pushed BCA’s market capitalisation to £1.8bn, around £200m higher than what Apax’s offer valued the company.
BCA operates vehicle defleeting, auctioning and remarketing, as well as providing stock finance and software for dealers. It also owns retail trade-in portals We Buy Any Car in the UK and CarTrade2B in Germany.
The company floated on the London Stock Exchange in 2015. Its top shareholders are Invesco Asset Management, with 22.5% of shares; Woodford Investment Management, with 16%; and American financial services firm Capital Group, with 10.6%.