Buyers eye up Peppa Pig

The company behind kids' cartoon brand Peppa Pig was flying high today as shares jumped by as much as a quarter - equivalent to almost £75 million - on news that it is in takeover talks.

Entertainment One confirmed that "it is considering its strategic options" after receiving interest from "various parties".

A spokesman declined to name any possible suitors and played down talk that US media giants Disney and Viacom may be interested.

JPMorgan - led by its top London media banker, Harry Hampson, who acted for RTL in its sale of Channel 5 last year - and Credit Suisse are both advising Entertainment One. The share price surge means the distribution and rights company is now worth around £350 million but analysts said buyers could have to pay £400million, or as much as 215p a share.

Broker Peel Hunt said such a price would be "in line" with similar takeovers in the sector.

Canadian-based Entertainment One, which also owns the distribution rights to top movies, including the teen vampire series Twilight, has been listed in London since 2007.

Shares have almost trebled in the past year and jumped as high as 203.4p this morning before settling at 189.5p - still up more than 17%.

Marwyn Investment Management is the company's biggest shareholder with a 41% stake. E1 chairman James Corsellis is a partner at Marwyn.