The company behind Petbarn and Greencross vet clinics has seen its shares surge 30 per cent amid speculation a private equity firm has launched a raid.
Greencross said it was aware that an investor was trying to buy a 14.99 per cent stake in the petcare company and had appointed Macquarie Capital and Allier Capital as advisers.
"Shareholders should take no action in response to the approach," it said in a brief statement on Tuesday.
Shares in the company leapt by $1.35 to close at $5.98. The stock has halved since February when it was around $9.55.
Investment bank Credit Suisse is reportedly offering to buy shares in Greencross for $5.79 each.
The Australian Financial Review reported that Credit Suisse was trying to find shareholders willing to sell their Greencross shares to an "undisclosed financial buyer".
Greencross in October reported a six per cent rise in like-for-like sales during the first quarter while revenues were up 19 per cent.
Sales growth was strongest in its New Zealand retail businesses, and growth was also achieved in Australia and in its veterinary business.
The company has 209 pet stores and 142 vet clinics, and achieved like-for-like sales growth of 6.2 per cent in the 2014/15 year.
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