In the last two trading days the share price of Norcros has risen from 147p to close at 171.5p today on above average volumes. A rise of very nearly 17%. The most likely explanation is that the recent results are in retrospect being viewed more positively than on the day of the announcement, aided by the recent rise in bond yields, which would if sustained reduce the Company's pension liabilities. A more colourful and exciting explanation is that a bid is in the offing, which given the situation at Lavendon and positive trading momentum at Norcros coupled with the attractive valuation metrics is perhaps not that fanciful.

I hold Norcros and Lavendon and am currently trying to decide what to do regarding my position in the latter.

My compliments to paraic84 for highlighting the value in both stocks in his recent post and also to Paul Scott who has been banging the drum about their derisory ratings for some time.

All comments welcome..

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