INFORMA yesterday confirmed an approach by Springer Science & Business Media proposing a takeover that would create a £4 billion-plus European publishing and conferencing group.

Shares in Informa soared 14.29 per cent on the news to 570p, valuing the group at £2.4 billion, their biggest one-day rise for more than three years. However, sources at the company cautioned that the takeover talks with Candover and Cinven, the private equity owners of Springer, were still at a preliminary stage.

Although the talks might flush out a rival approach from a trade player such as VNU or UBM, sources said last night that Germany’s Springer and Informa recognised that they would make a good strategic fit. Some analysts speculated that Informa might yet turn the tables on its suitor and make a bid for Springer.

A merger of groups would create one of the world’s biggest publishing and events companies, rivalling Reed Elsevier and VNU of the Netherlands.

Springer, the world’s second- biggest academic publisher, produces about 1,450 journals specialising in science, technology and medicine, as well as about 5,000 book titles a year.

No price has yet been discussed in the negotiations. Springer is being advised by UBS while Informa has retained Greenhills.

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