99 Cents up on Apollo bid

99 Cents Only Stores rose the most in more than five months following a report that Apollo Global Management LLC will make an offer for the chain.

99 Cents Only advanced $1.42, or 8.5 per cent, to $18 at 9.34 am in New York Stock Exchange composite trading, after earlier increasing as much as 9.7 per cent, the biggest intraday gain since March 11. The shares had gained four per cent this year before today.

The PE firm has been courting the company’s founding Schiffer-Gold family and plans to make an offer, the New York Post reported yesterday.

Leonard Green & Partners LP and the founding family, which owns 33 per cent of the 99 Cents Only’s stock, in March made an offer to take the City of Commerce, California-based company private for $19.09 a share, valuing it at $1.34 billion. With Apollo preparing to make a bid, the Schiffer-Gold family is now considering supporting the highest bidder, the newspaper said.

99 Cents Only has set a bidding deadline for this week, the Post reported.