SSP Group, the travel café and food-service operator behind popular franchises seen in airports and train stations globally, saw its shares climb 3.5% following an impactful announcement.
SSP Group’s shares jumped after activist investor Irenic Capital disclosed a 2% position in the travel-dining operator, sparking M&A speculation.
With a £1.8 bn market cap and £500 m EBITDA, SSP’s undervaluation and Irenic’s playbook raise intrigue for investors.
Irenic’s Activist Track Record
Wagamama Intervention
Irenic forced leadership changes and cost cuts at Wagamama, paving the way for a lucrative merger.
Bonmarché Turnaround
At Bonmarché, the fund pushed aggressive cost rationalisation, stabilising the retailer’s finances.
These precedents suggest Irenic may push SSP for board seats, efficiency drives, or divestments.
Valuation Versus Peers
SSP’s EV/EBITDA
SSP trades at 8.5× EV/EBITDA, below Compass Group’s 12× and HMSHost’s 10× multiples.
Undervalued Opportunity
SSP’s niche in high-traffic hubs and rolling £500 m EBITDA make it a value play amid activist interest.
Actionable Investor Strategies
Long SSP / Short Compass
Go long SSP to capture potential value unlock, while shorting overvalued Compass Group at 12× EV/EBITDA.
Credit Spread Trade
Consider mid-2026 bond spread tightening, anticipating yield compression as SSP executes Irenic-driven optimisations.
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