UK's SSP Group rises after report of Irenic Capital building 2% stake

Shares of food outlet operator SSP Group SSPG.L gain as much as 6.5% to 160.5p

Stock hits highest in about a month and a half

Activist investor Irenic Capital Management has built a 2% stake in SSP and is urging it to boost margins, the Financial Times reported on Thursday

The hedge fund is arguing that SSP's share price could be worth double its current valuation, according to the report

SSP's shares have fallen ~75% since their peak value of 616.10 pence per share in 2018

SSP told Reuters it maintains ongoing private discussions with investors and welcomes their feedback, but did not address Irenic specifically

As of last close, shares down ~16.6% YTD