Kelso Group Holdings, a U.K. investment company, recently announced its acquisition of 3.2% of the share capital of retailer TheWorks.co.uk. This transaction amounted to 626,000 pounds ($766,287).
Under its previous name, Insight Business Support, Kelso Group Holdings disclosed that it purchased 2 million shares at an average price of 31.3 pence, representing a 12% discount from the previous closing price of 35.6 pence.
Kelso Group Holdings expressed confidence in TheWorks’ strong business proposition, which emphasizes affordability. They also view the current valuation as highly attractive.
“We are very excited about our new investment and helping restore the intrinsic valuation of The Works, which we believe is significantly higher than the current price,” Kelso Group Holdings stated.
TheWorks reported an adjusted pretax profit of GBP10.1 million for fiscal year 2023, ending on August 30th. Additionally, it achieved revenue of GBP280.1 million during the same period.
As of 0718 GMT, Kelso shares remained flat at 2.15 pence, while TheWorks’ shares experienced an increase of 3.4 pence or 9.55%, reaching 39.0 pence.