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Ferdinand Piech's Head Turns All The Way Around

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We have to admit that we have found the voices insisting that Porsche, the large hedge fund with an interest in cars, was engaging in market manipulation rather squeaky and shrill sounding. True, the news that one hedge fund manager was said to be "in tears" (we are told that the rumor it was Larry Robbins is a "vicious lie") when the squeeze hit caused much snickering around the Dealbreaker offices. Be this as it may, such calls are beginning to sound sympathetic as the process grinds ever on.

Volkswagen AG said Sunday it was indefinitely postponing talks over a planned integration with Porsche Automobil Holding SE, but the sports-car maker insisted that only the next round had been canceled.
As the power struggle between two of Germany's leading auto companies appeared to increase, Volkswagen spokesman Peik von Bestenbostel told the Associated Press that the talks had been put on hold for an undetermined period of time, and urged a more direct engagement from Porsche.
"Before we can take up talks again, it is necessary that Porsche adopts a clearly constructive attitude toward them," Mr. von Bestenbostel said.
But Porsche insisted in a statement Sunday that while a working-group meeting Monday on the fusion of the two car makers had been canceled, "The negotiations that were begun last week will continue as planned."

"German Auto Firms Dispute How Long Integration Effort Will Be on Hold"?
Please, mommy, please, make it stop.
VW, Porsche Take Break in Talks [The Wall Street Journal]


Phil Falcone Is Turning His Life Around

To put it lightly, the last couple years have been a rather dark time for Phil Falcone. Though his woes are too numerous to mention in full, they include: the adversity he's faced in getting people to believe in LightSquared; his unbelievably pissy investors, who still aren't over the time he borrowed $113 million from a gated fund to pay personal taxes, or offered to pay out redemptions in illiquid LightSquared equity; the Securities and Exchange Commission, which wants him banned from the industry for life; the woman who once offered a respite from it all, who now won't even come out of her room when she knows he's home; and, of course, the plunging returns in his once highly profitable hedge fund. It would be enough to make a grown man say 'Fuck, it. I'm done.' Put a few things in a sack, tie it to the blade of a hockey stick, and hitchhike back to Minnesota. But Phil didn't do that and now? After a merciless storm of shit that felt like it would never ease up? After long days of investors and regulators breathing down his neck and nights of having to pound on the front door because he was accidentally purposely locked out of the house? The tide feels like it's turning for Philip Falcone. Beleaguered hedge fund honcho Phil Falcone’s big bet on his own publicly traded entity, Harbinger Group, is helping to lift his troubled hedge fund, Harbinger Capital Management, out of the deep end. Falcone’s flagship fund posted returns of 10.6 percent in July and a whopping 28 percent gain in June. Of course, he's still down 5.8 percent year-to-date, and the the director of the SEC's division of enforcement wants hedge fund graduate schools to use Harbinger as a case study during the unit on "how to operate a hedge fund unlawfully," but tonight? Tonight he tells Lisa to treat herself to something nice. Tonight he tells Wilbur to pull the baby grand out of the closet, where it's sat untouched for months. Tonight his key works in the lock. Tonight we dance. Phil Helps Himself [NYP]