In a statement the company confirmed that it had received an approach, but that it "may or may not lead to an offer being made".

"Further announcements will be made in due course...  there is nothing I can add at this time," said Wyndeham chief executive Paul Utting (pictured).

The statement was issued in response to a dramatic 15% rise on yesterday's share price of 127p, peaking at 147p at 1pm.

The firm didn't name the potential bidder but some City sources have identified Quebecor World or St Ives as logical, albeit unlikely, candidates. Others believe that a large player from the continent may be involved.

Wyndeham posted a 14% increase in turnover to 141.3m and a pre-tax profit prior to exceptionals of 7.5m, a leap of 70%, in the year to 31 March 2005.

Since the figures were released, it has made several purchases, including repro firms Icon Reproduction and Connect Digital Imaging, and digital and large-format printing outfit Blacketts.

The firm has also won several high-profile contract wins in recent months, including 20m worth of work over three years from Emap.