25th Jun 2025 13:24
(Alliance News) - Kelso Group Holdings PLC on Wednesday said it has seen an increase in the value of all five of its investments, with three delivering "significant" gains of around 20%.
Shares in Kelso Group Holdings were up 12% at 3.20 pence in London on Wednesday afternoon.
Kelso said its strategy is to "identify, engage, and unlock trapped value" in the UK stock market by identifying "fundamental value dislocations" in small but established UK-listed businesses.
The investor in London-listed companies said Birmingham, England-based retailer TheWorks.co.uk PLC upgraded its earnings before interest, tax, depreciation and amortisation guidance for the period in May, causing the share price to almost triple.
Kelso also noted that Norwich, England-based fishing tackle and equipment retailer Angling Direct PLC reported results "slightly ahead" of expectations, which saw its share price rise by 34%.
Manchester, England-based cybersecurity investee NCC Group PLC said in June that it was exploring "strategic options" for its Escode division, including a potential sale, which has saw the share price rise 4.1%.
Also, Kelso said cash shell Selkirk Group PLC "continues to make good progress" in line with its strategy, which has seen the share price rise 20%.
"We continue to believe that the UK stock market remains fundamentally undervalued, with UK small-caps presenting a potential generational opportunity for value creation," Kelso said in an annual general meeting trading statement.
The investor said its board is confident in its outlook, supported by early signs of a sustained recovery in the UK small-cap segment.
Kelso said TheWorks has become its largest holding at 26%, with Selkirk at 24%, NCC at 22%, THG PLC at 17% and Angling Direct at 12%, when rounded.
The company said it is at an "advanced stage" in analysing future investment opportunities, and expects to expand its number of holdings over the next period.
"The board of Kelso believes there is significant latent value across each of its current five current investments," it added.
Kelso said it plans to expand its advisory board during 2025, and is continuing to explore net potential sectors for its next cash shell.
By Michael Hennessey, Alliance News reporter
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Related Shares:
Kelso Grp HldgTheworks.co.uk.Angling DirectNccSelkirk GroupThg