Evolution shareholder reduces stake in Kindred Group
US-based SMALLCAP World Fund sheds part of stake in operator as strategic review continues
Kindred Group has confirmed SMALLCAP World Fund has reduced its stake in the company to 5% as of 15 August.
Updating the market in line with regulatory requirements, the Stockholm-listed firm disclosed the significant shareholding by the Los Angeles-registered firm.
SMALLCAP previously held a 7.12% stake as of July 2022.
SMALLCAP is an investment fund under the Capital Group parent company.
Established in 1990, SMALLCAP holds fund assets of £69bn across more than 800 companies.
It also holds a stake in live casino giant Evolution, with the fund owning 4.9 million shares in the business.
Other major assets in its portfolio include Molina Healthcare, freight shipping firm Saia and US-based construction material distributor TopBuild Corp.
SMALLCAP remains a shareholder of note.
Elsewhere, in August 2022, Corvex Management upped its shares in Kindred to 15%.
The New York-based firm, which ramped up its stake in the operator having taken a 10.12% share in April 2022, has been agitating for a potential sale of the business.
In April, Kindred initiated a strategic review of its business that could result in the sale of the company.
The firm has engaged PJT Partners, Morgan Stanley and Canaccord Genuity as financial advisors for the process.
As part of Kindred’s Q2 financial update, the group did not disclose any further details on the process of the review. However, management did note costs arising from the review of £1.9m during the quarter.