John Laing Infrastructure Fund shares surge following potential cash buyout

John Laing Infrastructure Fund revealed on Monday that it was in talks with a consortium of funds about a potential cash buyout offer for the firm.

The consortium, comprised of Dalmore Capital and Equitix Investment Management, confirmed the potential JLIF all-cash offer which would represent a 20.6% premium to the fund's share price of 118.2p at the close of trading on Friday.

JLIF, one of the largest listed investors in public infrastructure projects across Europe, stated the offer was worth 142.5p per share in cash, including a 3.57p per share dividend payment to shareholders.

The board of JLIF told the LSE that it had indicated to the consortium that it was "minded to recommend a firm intention to make an offer for JLIF if made by the consortium on the terms set out in this announcement”.

However, JLIF also warned that "there can be no certainty that any offer will be made".

As of 1000 BST, JLIF shares had shot up 18.27% to 139.80p.