So Bill Ackman’s earth-shattering, research-redefining, can’t-miss company-killing “deathblow” didn’t exactly pan out yesterday, what with Herbalife shares soaring 25% yesterday as investors shrugged, “that’s all you got?” Now, it’s unclear what this exactly means for Pershing Square investors, since Ackman’s ninja restructuring of his $1 billion short last year makes precise P&L calculations impossible, but suffice it to say it means nothing good.
Nothing good for Ackman, anyway, but very good for new old buddy Carl Icahn, who remains a big believer in diet shakes in spite of Ackman’s best efforts to “get him out of the stock.” Two-hundred-and-thirty-four million dollars good. Good enough to let Uncle Carl leave the matter magnanimously unmentioned while also generously picking up the check at their next rendezvous at Marea. Read more »
When the BlackRock chief wrote about his lament about the “short-term demands of the capital markets,” he didn’t mention anyone by name. But Carl Icahn can read between lines like “too many companies have cut capital expenditure and even increased debt to boost dividends and increase share buybacks,” and he can’t help but notice that they contain the letters C-A-R-L-I-C-A-H-N.
At any other time, fine, Billy Walters could deal with the fact that federal authorities are reportedly “examining a series of well-timed trades” made by him and golfer Phil Mickelson, that Carl Icahn may or may not have mentioned in passing to the the men. But not now. Not when he’s gearing up for the fourth annual “World’s Sexiest Golf Tournament,” which is less than three months away and needs his undivided attention. Read more »
In a telephone interview with Bloomberg Television’s Trish Regan, billionaire investor Carl Icahn responded to articles in the Wall Street Journal and the New York Times over the weekend suggesting he was implicated in an insider trading investigation. The investigation, which is being conducted by the FBI, the Securities and Exchange Commission, and federal prosecutors in Manhattan, also involves three-time Masters golf tournament winner Phil Mickelson and Las Vegas gambling impresario Billy Walters. “We do not know of any investigation. Further, we are always very careful to observe all legal requirements in all of our activities,” Icahn said. “We believe that making inflammatory and speculative statements, especially when we’ve had an unblemished record for 50 years, is completely irresponsible on the part of the Wall Street Journal.” [BusinessWeek]
Uncle Carl is loving the totally legitimate diet-shake company’s $266 million share buyback. Bill Ackman hasn’t weighed in on the racist pyramid scheme’s move, but it is safe to say he’s not impressed. Read more »