- Investment company Thalassa said it was well positioned heading into a currently period of market volatility sparked by the coronavirus outbreak.

In a trading update of its performance for the year through December, the company said it had net cash balances of about $10.1m.

'The group was well positioned going into this period of market volatility through being both long in cash and hedged through a combination of different strategies that provide unlimited upside but limited downside,' Thalass said.

'These strategies include short currency positions, long and short/inverse ETFs against our long holdings.'

'The board would emphasise that these hedges can only partially offset the impact on long holdings of a prolonged major market correction as the group is set up as a net long buyer of undervalued assets.'

Chairman Duncan Soukup said that since the sale of WGP in January 2018 the company had undertaken a number of initiatives that taken longer to develop than hoped.

'M&A transactions invariably take considerably longer to develop and execute than instantaneous dealings in the stock market,' he said.

'However, Thalassa's board is convinced that the best way to generate substantial returns for shareholders is through long-term investing and the acquisition of undervalued assets.'

At 8:11am: [LON:THAL] Thalassa Holdings Ltd share price was -0.5p at 59.5p

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