SAC Wants To Tear Paper Company In Half

Aug 22 2012 | 1:52pm ET

SAC Capital Advisors isn't known as an activist hedge fund. But the industry giant is sharpening its claws for a fight with Clearwater Paper.

SAC, which owns 7.1% of Clearwater, is pushing the company to split in twain and sell one—or both—businesses. The hedge fund also wants Clearwater to add two members to its board of directors and to hire an investment bank to explore options.

The $14 billion hedge fund warned Clearwater in May that it was "deeply undervalued." Now, it's told the company how it wants it to fix the problems, according to a regulatory filing.

SAC wants Clearwater to "initiate the separation" of its consumer products and its pulp and paperboard businesses.

"Clearwater Paper has had an open dialogue with SAC and continues to carefully analyze its proposals," Matt Van Vleet, a Clearwater spokesman, said.


Lifestyle

Survey: Wall Street Banks Still Top Silicon Valley, Hedge Funds for Freshly-Minted MBAs

Jun 21 2016 | 9:01pm ET

Contrary to concerns that Wall Street isn't as appealing to new graduates as it...

Guest Contributor

The Future of the Blockchain in Financial Services Communications

Jun 17 2016 | 1:05pm ET

Over the past year, a large portion of the financial services industry has awakened...