Foreign bidders are wooing investors in London-listed companies with a growing number of “bear hug” offers designed to be too good to refuse. UK companies received £44bn of such unsolicited public bids at a premium of 20 per cent or more above their share price in the second quarter, the highest value since 2018.

Bidders make these bids to pressure a target’s board into acceptance. Acquisitions of UK-listed groups are up 188 per cent this year to a total of $116bn, the highest level year-to-date since 2007. Major players like US real estate investor Prologis have used this tactic, recently targeting Segro with a potential £14bn deal.

While these moves can put boards in uncomfortable positions, they can also lead to better information for both sides. As the market evolves, aggressive tactics are becoming more common as overseas buyers rush to snap up London-listed companies at a record pace.