The Brambles Limited (ASX: BXB) share price is surging higher on news the company is in takeover talks.
The pallets, crates, and containers manufacturer has caught the eye of global private equity giant CVC Capital Partners.
At the time of writing, the Brambles share price is $11.58, 11.03% higher than its previous close.
Though, that's down from its earlier high of $11.82, representing a 13.3% increase.
Let's take a closer look at the rumours the company confirmed this morning.
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Brambles share price surges on confirmed takeover talks
The Brambles share price is taking off after the company responded to reports CVC Capital could be gearing up to present an offer valuing it at more than $20 billion.
While the S&P/ASX 200 Index (ASX: XJO) constituent didn't note the value of any potential bid, it did confirm it was in talks with CVC this morning.
Those talks are in early stages and there's no guarantee they'll lead to an acquisition offer, the company said.
Any potential bid would presumably aim to entice Brambles to open its books to the firm. And CVC is reportedly not holding back.
The private equities giant is considering slapping an offer valuing the company at around $20 billion on the table, The Australian reported last night.
At its previous close, Brambles boasted a market capitalisation of around $15 billion.
However, the company doesn't seem to be placing all its bets on such an offer.
"The board and management remain focused on implementing the Shaping our Future transformation plan," the company said in today's release.
"The board is also considering other strategic options for the company that maximise shareholder value."
Today's gains included, the Brambles share price is 8% higher than it was at the start of 2022. It has also gained 9% since this time last year.
