Sunday, 21 September 2014
Last updated 2 days ago
Aug 28 2013 | 12:01pm ET
J.C. Penney Co. may have rid itself of its most turbulent hedge fund shareholder—Pershing Square Capital Management’s William Ackman—but it has others that could take his place should its turnaround founder.
There are more than a dozen hedge funds among Penney’s 100 largest shareholders. None has anywhere near the stake—more than 18%—that Pershing Square owned, and none will, given the company’s new poison pill. But together, they make up some formidable numbers.
Soros Fund Management owns a 9.1% stake and Perry Capital a 7.3% stake, The New York Times reports. Glenview Capital Management owns 3.8% of the troubled retailer. Others on the roster include Balyasny Asset Management, Citadel Investment Group, SAC Capital Advisors and Wexford Capital. And Hayman Capital has recently taken a large—and still undisclosed—stake.
The likelihood of collective action may be diminished, however, by disagreements among the hedge funds. Soros, for instance, opposed Ackman’s call to quickly replace interim CEO Myron Ullman, while Perry backed him.
Ackman moved this week to sell his entire Penney’s take—at a loss of more than $500 million—after he resigned from its board earlier this month amidst a dispute with his fellow directors.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Credit default swaps brought down the London Whale and cost JPMorgan $6.2 billion. Here is how it happened.