Biosensors stock surges 14% on Citic takeover talk

SHARES in Biosensors International Group shot up 14 per cent in a matter of minutes yesterday on reports that a Chinese private-equity investor may offer to privatise the medical devices company.

Biosensors last changed hands at 99.5 cents before trading was halted at 3.45 pm. The stock had risen by about 15 cents in under 10 minutes to hit a day high of $1.02 at about 12.30pm, following speculation that Citic Private Equity Fund Management Co, a unit of China's Citic Group Corp, could be preparing a bid for Biosensors.

Bloomberg reported that Citic was in talks with several banks to arrange financing for a privatisation bid, citing two sources.