Market's view on Kingswood H.
Published on April 2024
- Kingswood Holdings is actively seeking a buyer, with a bid from Pollen Street for Mattioli Woods at a 33% premium to share prices suggesting potential absorption of similar companies.
- Discussion on the delay in announcing the potential sale of the UK business and its effects on share prices, which are experiencing a downturn due to poor US performance and unspecified other factors.
- Speculation around the impact of Pollen Street Capital’s financial involvement, with a potential £250 million sale giving Pollen a significant return on investment.
- Financial concerns about Kingswood include the high cost of debt finance, which affects the share price, especially when no news is released about selling the UK business.
- Positive outlook from some watchers due to recent acquisitions and market recovery, despite the current low share prices.
- Speculation about an off-market share transaction and its potential impact on the company’s financial health and share prices.
- Disappointment expressed regarding the lack of share price improvement despite “excellent results” and solid growth in the company’s performance.