The VGI Partners Ltd (ASX: VGI) share price is in the green today on the back of merger speculation.
The company's share price is currently swapping hands at $5.25, up 10.29% on yesterday's close.
Let's take a look at what is happening at the investment company today.
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Merger speculation
Investors may be reacting today to speculation in The Australian that VGI Partners may merge or be taken over by one of its competitors.
The company has asked Jefferies banker Michael Stock to spearhead the potential merger or acquisition, News Corp reported.
In a statement authorised by company secretary Ian Cameron, VGI Partners acknowledged the media speculation and left the door open to a potential merger.
VGI confirms that it is having preliminary discussions with a number of parties, including Regal [Regal Investment Fund (ASX: RF1)], in relation to a range of potential transactions.
VGI is aware of its continuous disclosure obligations to the market and will keep the market informed consistent with those obligations.
A global funds manager, VGI Partners has offices in Sydney, New York and Tokyo. The company has $2.8 billion worth of funds under its management as of 30 September 2021.
VGI's share price has had a tough year, shedding 39% in the past 12 months. Additionally, the VGI share price has dropped 41% from its 12-month high of $8.54 reached on 25 February.
VGI share price recap
While the 2021 year was a shocker for VGI Partners shares, the past month is providing relief for investors.
In the past week, VGI shares have gained 7.8%, while they are up nearly 22% in the past month.
The company commands a market capitalisation of roughly $332.28 million based on the current share price.
