Shares of Signature Aviation PLC (LON: SIG) today surged 41.7% after the company confirmed that it is in talks with US private equity firm Blackstone Group about a potential cash offer of $5.17 (£3.80)a share for the company.
The aviation company which claims to be the largest fixed base operation (FBO) network for Business & General Aviation (B&GA) travellers said that it had also received an indicative proposal from Global Infrastructure Partners (GIP) regarding a possible cash offer.
However, Signature’s board of directors rejected the offer, which had quotes a lower price than Blackstone’s.
Interested in investing after today’s move?
XTB gives investors access to thousands of UK and international stocks,
including fractional shares from just £1.
Explore stocks with XTB →
Your capital is at risk. The value of your investments may go up or down. Past performance is not a reliable indicator of future performance.
Want to invest in the stocks making the news?
Go from following the market to investing in it, with access to thousands
of stocks across major UK and international markets.
See available stocks →
Your capital is at risk. The value of your investments may go up or down. Past performance is not a reliable indicator of future performance.
Own the stocks you’re reading about
Invest in real shares across the UK, US and other major global markets
through XTB, all from one investment account.
Explore XTB shares →
Your capital is at risk. The value of your investments may go up or down. Past performance is not a reliable indicator of future performance.
You don’t need to buy a whole share
Fractional shares let you invest from just £1, giving you more control
over how much you put into individual companies.
Explore fractional shares →
Your capital is at risk. The value of your investments may go up or down. Past performance is not a reliable indicator of future performance.
Want to see how XTB works first?
Explore the platform with an XTB demo account before deciding whether
you want to invest with real money.
Try the XTB demo →
Your capital is at risk. The value of your investments may go up or down. Past performance is not a reliable indicator of future performance.
Signature clarified that: “A further announcement will be made as and when appropriate. There can be no certainty that any offer will be made nor as to the terms of any offer,”
The aviation services company looks cheap at current prices due to the impact of the coronavirus pandemic and Brexit making the firm a natural target for private equity firms looking for deals in the UK.
The company is well-positioned to benefit from an expected rebound in air travel next year.
Signature Aviation share price
Signature Aviation shares today surged 41.7% to trade at 380p having rallied from Wednesday’s closing price of 268p.
