Activist investor Ancora, which holds more than 4% of Big Yellow, wants the board to launch a full strategic review that would invite interest from both strategic and financial buyers worldwide. James Chadwick, president of Ancora Alternatives, presented the case at the Sohn San Francisco Investment Conference on 13 October. In Ancora's view, a sale is the best risk-adjusted outcome for shareholders. It values Big Yellow's intrinsic value at £12.36 a share, based on a 5.1% capitalisation rate, implying upside of at least 54% from the share price on 9 October.
Ancora says the shares trade at a discount of almost 40% to net asset value. Big Yellow is valued at 14.6 times forward EBITDA, the lowest in its 26 years on the stock market and about 31% below its historical average of 21.1 times. Ancora blames weak UK economic growth, a soft housing market, the cost of the development pipeline and the collapse of last year's takeover talks. It argues the underlying business is far stronger than the share price suggests, noting that Big Yellow owns the freehold on 99% of its portfolio, heavily concentrated in London.
The campaign revisits a takeover saga that ended less than a year ago. On 13 October 2025, Blackstone said funds it advises were considering a possible cash offer. After asking for more time, it failed to make a firm offer by the extended deadline of 8 December. Big Yellow's board concluded there was "no basis for continuing discussions," and Blackstone confirmed the next day that it would not bid. Neither side disclosed a price. Ancora believes this was a missed opportunity and that a full process would likely produce a deal "at a compelling valuation."
If Big Yellow stays listed, Ancora proposes steps including selling non-core assets, rebranding or selling its smaller Armadillo brand, monetising the development pipeline and buying back shares. Combined with a recovery in occupancy and a stronger UK economy, Ancora believes these measures could drive a significant re-rating of the shares. The firm said it intends to engage constructively with the board.
Source: PE Insights · Summarized by HeadlinesBriefing