The City of London is a blend of old and new, with St Paul's Cathedral close to skyscrapers as well as Roman ruins."People are finally just waking up that, actually, the U.K. has a lot of fantastic companies and they are very cheap compared to other markets," BRI Wealth Management's Dan Boardman-Weston said.
It comes after private equity group EQT confirmed it is in advanced talks to buy video game company Keywords Studios for a more-than 70% premium.U.K. stocks are finally turning a corner after years of underperformance, according to one chief investment officer, who stressed that valuations are looking "very cheap.""People are finally just waking up that, actually, the U.K.
It comes after private equity group EQT confirmed over the weekend that it is in advanced talks to buy video game services company. EQT is offering £22.50 per Keywords share — a premium of over 70% from Friday's close of £14.70. Keywords' shares jumped more than 60% Monday morning following the news.
"It just shows how undervalued U.K. equities are, especially at that small and mid-cap end," Boardman-Weston said. "If an end buyer is willing to pay a 70% premium and they still think they can get the numbers to add up at that level, it just shows you how cheap U.K. markets are."