SHARES in the UK's biggest ports operator surged yesterday amid speculation that it may be about to receive a £2.3bn takeover offer.

Investors jumped aboard Associated British Ports after financial newspaper City AM said a consortium backed by Goldman Sachs and Canadian investment house Borealis Infrastructure planned an approach early next month.

AB Ports, which operates from 21 sites in the UK and employs more than 3,000 people worldwide, saw its share price rise by more than five per cent to a level close to the suggested offer price of 740p a share.

In response, AB Ports said it had not yet received a proposal and promised to keep shareholders informed of any "significant developments".

The interest is the latest involving an operator of key UK transport infrastructure, following the £9bn move for BAA by a Spanish-led consortium.

AB Ports impressed the City recently with a better-than-expected two per cent rise in annual operating profits to £132.3m.

The company has underpinned its prospects by trying to secure more contracts, including through development work on the Humber.

AB Ports has sites including Hull, Grimsby, Port Talbot and Southampton. It also has a number of businesses offering specialist services, while Amports, its US division, provides vehicle-processing services in ports.

P&O became the latest operator of container terminals to be taken private when Dubai's DP World won control with a £3.9bn offer following a bidding war earlier this year.

In addition, Mersey Docks and Harbour agreed a £771m takeover by Peel Ports in June and Teesport operator PD Ports was swallowed up by Australian infrastructure group Babcock and Brown for £260m.

Two major projects due to become operational at the Port of Immingham in the coming months are likely to bring higher growth in the second half of the financial year.

The two schemes, which involve investment of £87m, are on schedule and will provide a roll-on roll-off ferry facility and an extension to Humber International Terminal.

A third major project on the Humber - a £30m container terminal for short-sea traffic - is due to become operational at the end of next year.

The financial consortium, which also features GIC Special Investments, said: "The consortium's considerations are at a preliminary stage and there can be no assurance that any offer will be made."