Shares in Big Yellow Group PLC (LSE:BYG) jumped 18% after Blackstone confirmed that it is mulling a potential cash offer.
Blackstone said it is considering its position in relation to the self storage company.
Following media speculation, Big Yellow's board also confirmed that it has held meetings with "a small number of parties in relation to a range of potential options including a potential sale of the company".
No takeover approach has yet been made though, it was noted, with no current discussions ongoing with any of those parties.
In Blackstone's own statement, it emphasised that its evaluation "is at a preliminary stage" and "is considering, amongst other factors, the macro-economic environment including the potential impact of the upcoming UK budget as it relates to the self-storage sector".
Analysts at Panmure Liberum said: "In order to support any sale of Big Yellow, we would have to be paid up front for the excellent operating platform, unique and irreplaceable portfolio and structural support from being a relatively lower cost ‘space’ for households in a market that is well protected from additional supply."
Co-founders Nick Vetch and Jimmy Gibson started Big Yellow in 1998 and as executive chairman and CEO continue to run the business.
"At some point a passing of the baton to the next generation of management is speculated," said the Panmure analysts.
"While the succession question is one investors should be concerned with, its not a good enough reason to give away what the founders have built at anything other than a strong price that reflects their achievements over the last quarter century," they added.