LONDON (ShareCast) - Marketing group Upstream almost doubled in price today after selling its underperforming public relations businesses to Next Fifteen Communications for $1.1m (£756,000).

‘The historic performance of those businesses has been disappointing and has had an adverse effect on UPS's share price,’ said non-executive chairman Stephen Smith.

‘The board did not foresee performance improving markedly and has been considering various options to realize the value of the public relations businesses and make better use of shareholders' funds.’

Today’s deal, subject to shareholder approval at an EGM on 26 October, brings in $900,000 in cash and sees Next Fifteen assume $200,000 worth of liabilities.

As a result, Upstream will have no further interest in public relations and has decided to use the proceeds to invest in the natural resources sector.

The firm, which will change its name to Hameldon Resources Limited, parts company with chief executive, David Ketchum, who moves to Next Fifteen.

Next Fifteen will own 55% of Upstream Asia, while a Hong Kong-based company, Asset Pioneer, will own the other 45%. An option deed will give Next Fifteen the right to buy Asset Pioneer’s shares over five years based on profitability.

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