Shares of Stockport-based musicMagpie rose almost 30% after it confirmed it is in “early-stage discussions” with both BT Group plc and Aurelius Group about a possible offer to acquire musicMagpie.
musicMagpie allows consumers to buy, rent and sell refurbished consumer technology.
The firm went public in 2021 at 193p but its shares have since fallen more than 80% to about 25p.
“The board of musicMagpie notes the recent speculation and confirms it is in early-stage discussions with both BT Group plc and Aurelius Group as to a possible offer to acquire the entire issued and to be issued share capital of musicMagpie,” said the Stockport firm.
“Discussions between the parties are ongoing and remain at a very early stage.
“Accordingly, there can be no certainty that any offer for the company will be made from either of the parties, nor as to the terms of any such offer.
“Accordingly, shareholders are advised to take no action at this time. A further announcement will be made as appropriate.
“In accordance with Rule 2.6(a) of the Code, by no later than 5.00 pm on 18 December 2023, the parties must either announce a firm intention to make an offer for musicMagpie in accordance with Rule 2.7 of the Code or announce that they each do not intend to make an offer for musicMagpie, in which case the announcement will be treated as a statement to which Rule 2.8 of the Code applies.
“This deadline will only be extended with the consent of the Takeover Panel in accordance with Rule 2.6(c) of the Code …
“This announcement has been made without the consent of BT Group plc and Aurelius Group.”