SRM Ups Countrywide Stake To 5.5%

Feb 14 2008 | 1:00am ET

London hedge fund SRM Global is reiterating—and reinforcing—its opposition to Bank of America’s bid for the country’s largest mortgage lender.

In a filing with the Securities and Exchange Commission yesterday, SRM said it had boosted its stake in Countrywide Financial Corp., in spite of seeing about half of its assets evaporate in the past three months. SRM now owns 5.48% of Countrywide, up from 5.19% earlier this month.

The hedge fund, run by Jon Wood, also sent another letter to Countrywide’s board of directors, arguing that “the merger transaction with Bank of America in not in the best interests of its shareholders.” Wood also complained that Countrywide management has refused to meet with him.

BofA’s $4.6 billion stock offer is worth about $8 per share, a roughly 15% premium to its closing price yesterday. But SRM argues that those terms value Countrywide at less than half its book value.

RELATED LINKS

SRM Girds For Fight Over Mortgage Lender Sale


In Depth

Q&A: Executive Recruiter Talks Hedge Fund Closures, Hiring Trends

Dec 19 2014 | 6:58am ET

This year, hedge funds have been closing at a rate not seen since the financial...

Lifestyle

Cooper-Hohn Won't Contest Divorce Settlement

Dec 18 2014 | 9:51am ET

The ex-wife of hedge fund billionaire Christopher Hohn will not contest a divorce...

Guest Contributor

Alternative Investment Funds Face A Communications Imperative

Dec 19 2014 | 6:10am ET

A handful of the top alternative investment firms on both sides of the Atlantic...

 

Sponsored Content

Editor's Note

    Guidelines for Guest Articles

    Oct 22 2014 | 9:46am ET

    We are always looking for guest articles from hedge fund managers and buy-side firms.

    If you are interested in submitting a contributed piece for possible publication on FINalternatives, please take a look at the specs. Read more…

 

Futures Magazine

December 2014 Cover

Futures 2014 person of the year

Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.