Carl Icahn disclosed a massive stake in Herbalife

Discussion in 'Wall St. News' started by Zr1Trader, Feb 14, 2013.

  1. Carl Icahn Reports HUGE Stake In Herbalife

    Billionaire investor Carl Icahn has disclosed a massive stake in Herbalife equal to 12.98%, 14,015,151 shares, according to an SEC filing.
    "The Reporting Persons intend to have discussions with management of the Issuer regarding the business and strategic alternatives to enhance shareholder value, such as a recapitalization or a going-private transaction," the filing states.
    Icahn told CNBC's Scott Wapner that he's done a great deal of research on the company and he doesn't think that it's a pyramid scheme.
    Herbalife is the stock that Icahn's decade-long rival Bill Ackman, the CEO of $12 billion Pershing Square Capital Management, is shorting. Ackman, who is shorting more than 20 million shares, believes that the company is a "pyramid scheme" and has a price target of $0.
    Just last month, the two hedge fund titans, who have been fighting for a decade, duked it out on CNBC in a live telephone interview with Icahn hurling brutal insults at Ackman.
    The stock is soaring on the Icahn news. Herbalife is up 18.11%, or $45.20 per share, in after-hours trading. That's above the pre-Ackman short level."

    Let the games begin.
  2. I'd heard that Ackman was short in the low 50s. Either way it's getting close.
  3. gmst


    very interesting. Lets see who wins. I don't know much about Herbalife but choosing between Carl Icahn and Ackman, my vote goes to Icahn.
  4. koolaid


    Nah pretty sure Ackerman's got this
  5. i think they are playing games , and that's an easy game to play.
  6. One thing is fairly certain -- both parties are selling tonight/tomorrow.
  7. No offense, but what could you possibly know that could substantiate such statement?
  8. He's going to try to make a run on the borrow is my guess. He will prevent his shares from being borrowed and I bet people will speculate that he will make a public tender just to fuk ackman.
  9. Force him to cover?

    I wonder what the cost of borrow is now?
  10. 1.96% at interactive
    #10     Feb 15, 2013