Rotala PLC (AIM:ROL) soared after announcing it has received a bid approach from a management-led team which would value the company at around £19.4 million.
The bus, coach and transport firm said the 63.5p per share cash proposal has been made by Simon Dunn, Bob Dunn and John Gunn, its chief executive, managing director - North West, and non-executive chair respectively.
The bidding parties hold around 37.5% of Rotala stock.
The company said a committee of independent directors has been formed to consider the possible offer.
Shares jumped 36% to 57.25p each on Tuesday afternoon.