Carl Icahn Is Either About To Promote His Son Or Tell The Kid To Update His LinkedIn Page

Their most recent agreement has expired and Icahn the Elder drives a hard bargain.
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There's also the requisite roasting. (Getty)

Considering Brett Icahn and his partner David Schechter have made Daddy Icahn a whole lot of money over the last few years, it wouldn't be surprising for Carl to reward them with raises and new titles but if anyone is going to keep his progeny on their feet, it's this guy.

In a Monday announcement, following “various inquiries,” Icahn Enterprises confirmed its agreements with Brett Icahn and David Schechter, who co-managed the nearly $7 billion Sargon Portfolio, expired Sunday. It is possible — but not certain — that new agreements for the two will be finalized. “For the past seven years, Brett, David and I have maintained an extremely successful and mutually beneficial portfolio management arrangement,” Carl Icahn said. There is some belief the expiration of the agreement will coincide with 80-year-old Icahn handing the reins to Brett and David. The Post reported in March that the elder Icahn was negotiating a deal with his son that would go into effect when the co-management agreement expired.

What’s next for Carl Icahn’s son? [NYP]

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Carl Icahn Gives Son Four Years To Prove Himself

Ten years ago, Carl Icahn hired his son Brett to be an analyst at Icahn Enterprises and the kid didn't fuck anything up so he got to keep his job. Two year ago, Carl gave Brett and another employee, David Schechter, $300 million to invest under the "Sargon portfolio," and the guys returned 96 percent (before fees) through June. Last month, Carl tossed the duo an additional $3 billion and a contract that expires in 2016, at which time Papa Icahn will either officially Brett a worthy successor or offer to serve as a reference for his next gig. Under a 46-page legal agreement filed with federal regulators last month, Brett Icahn and Schechter will get to invest their boss’s capital in companies with stock market values between $750 million and $10 billion. The deal may free the elder Icahn, who still has final say over many aspects of the portfolio, to focus on larger targets for shareholder activism. Brett, who turns 33 this month, along with Schechter has been running $300 million for his father, who owns more than 90 percent of Icahn Enterprises LP, a holding company with $24 billion in assets including activist investing partnerships as well as the Tropicana casinos, an oil refiner and an auto-parts maker. The arrangement expires after Carl turns 80 in 2016, giving Brett the chance to both prove his mettle as a successor and develop a track record to start his own hedge fund. After hiring Brett as an investment analyst a decade ago, Icahn allocated the $300 million to his son and Schechter in April 2010 to invest in loans and securities of companies with less than $2 billion in equity value. Their investments, internally dubbed the Sargon portfolio, generated a gross cumulative gain of 96 percent by the end of June, according to a July 27 filing with the U.S. Securities and Exchange Commission...“These two guys doubled our money over the last two years,” the elder Icahn said in an interview. “You can’t complain about that.” Carl Icahn Hands Son Brett $3 Billion To Prove His Mettle [Bloomberg]