- Zegona Communications said it would more regularly update shareholders on the value of its key holding, while acknowledging a relative weakness in the price of its shares.

The company's main asset is a 20% interest in Spanish telecom company Euskaltel.

Zegona said that at the current Euskaltel share price of €9.19, its holding in Euskaltel, together with its current net cash position, was worth the equivalent of £1.41 per Zegona share.

That value was over 46% higher than Zegona's share price at the time of its announcement of 96p.

'Zegona's board has been monitoring this metric for some time and is determined to take actions with the objective to close this differential,' the company said.

'As a first step, it has decided to keep its shareholders regularly updated on the value of its ownership in Euskaltel.'

Updates would be posted at least quarterly, it added.

At 9:15am: [LON:ZEG] Zegona Communications Plc share price was +2p at 98p

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