Core Insights - Merion Road Capital Management reported a 5.0% return for its Small Cap Fund in Q3 2025, underperforming the Russell 2000 Index which returned 12.4% [1] - The long-only portfolio achieved a 10.1% return, outperforming the S&P 500's 8.1% return, primarily driven by the strong performance of Kratos [1] Company Highlights - Bel Fuse Inc. (NASDAQ:BELFB) is noted for its design, manufacturing, marketing, and sales of products that power, protect, and connect electronic circuits [2] - The stock of Bel Fuse Inc. had a one-month return of 0.15% and a remarkable 93.40% increase in value over the past 52 weeks, closing at $152.69 per share with a market capitalization of $1.933 billion on November 26, 2025 [2] - Merion Road Capital established a capital structure arbitrage in Bel Fuse, noting a significant widening of the price discount between Class A and Class B shares, approaching historic levels [3] - The investment in Bel Fuse was initially based on improved management and the successful acquisition of Enercon, which led to strong Q2 results [3] - Gabelli, a major holder of Class A shares, is considering resubmitting a shareholder proposal to collapse the share structure [3]