Editor’s Note: Related tickers: Sony Corporation (ADR) (NYSE:SNE), Dell Inc. (NASDAQ:DELL), CF Industries Holdings, Inc. (NYSE:CF), Yahoo! Inc. (NASDAQ:YHOO), The Blackstone Group L.P. (NYSE:BX), Goldman Sachs Group, Inc. (NYSE:GS)
Third Point Takes Aim at Sony in Investor Letter (NYTimes)
The activist investor Daniel S. Loeb is turning up the heat on Sony Corporation (ADR) (NYSE:SNE). Mr. Loeb, who runs the hedge fund Third Point, initially took a deferential approach when he disclosed a roughly 6.5 percent stake in Sony Corporation (ADR) (NYSE:SNE) and called for a breakup of the company in May. …A spokesman for Sony Corporation (ADR) (NYSE:SNE) said: “Sony Corporation (ADR) (NYSE:SNE) is focused on creating shareholder value by executing on our plan to revitalize and grow the electronics business, while further strengthening the entertainment and financial service businesses, which generate stable profit. The Sony Corporation (ADR) (NYSE:SNE) board of directors, as previously noted, is reviewing its proposals. Sony Corporation (ADR) (NYSE:SNE) looks forward to continuing a constructive dialogue with our shareholders as we pursue our strategy.”
Icahn contests condition in latest Dell offer (Yahoo)
Billionaire investor Carl Icahn is renewing his attack on Michael Dell’s leadership and warning that the latest offer from Dell Inc. (NASDAQ:DELL) to buy the struggling PC maker he founded bypasses an important shareholder safeguard. Icahn and the investment firm Southeastern Asset Management said Monday in a letter to a special committee of Dell Inc. (NASDAQ:DELL) board members that Michael Dell wants to circumvent the voting process behind a deal by preventing stockholders from passively rejecting his offer. Icahn and Southeastern are major Dell Inc. (NASDAQ:DELL) shareholders who have been leading a push to defeat Michael Dell’s takeover plan. They also want Michael Dell ousted as the company’s leader.
Third Point Re, the Bermuda domiciled reinsurer backed by Third Point LLC hedge fund owner Dan Loeb, has increased the offering size of its long-awaited IPO to a maximum of $345m. When Third Point Re initially filed its IPO documentation it was hoping for an offering of $250m but it seems demand has allowed it to increase the target. An updated S-1 registration statement document which was filed with the U.S. Securities and Exchange Commission yesterday, shows the proposed maximum aggregate offering price as $345m, up by 38% from the initial $250m target, according to Bloomberg news and the Royal Gazette Bermuda.
Innovative funds can hedge fixed -income volatility (TheGlobeAndMail)
As you watch your bond investments stumble against rising interest rates, you’re probably on the lookout for fixed income options that aren’t so interest sensitive. As it happens, two of Canada’s best-known hedge fund providers offer innovative fixed income funds that afford some protection in just this situation. Picton Mahoney Asset Management’s Income Opportunities Fund and Gluskin Sheff + Associates Inc.’s Credit Arbitrage Fund are designed to try to generate moderate and relatively steady returns similar to traditional bond funds, but without the traditional bond fund’s notorious vulnerability to rising rates.
Einhorn’s reinsurer cut gold exposure in Q2 as prices plunged (MSN)
Hedge fund manager David Einhorn‘s reinsurer Greenlight Capital Re, Ltd. cut its gold holdings in the second quarter as prices of the precious metal plummeted, a regulatory filing showed on Monday. The reinsurer, for which Einhorn serves as chairman, cut its commodities holdings to $50.5 million in the quarter ended June 30, down from $90.3 million in the first quarter ended March 31.
CF Industries’ Shares Jump on Stake by Activist Hedge Fund (WSJ)
Shares of CF Industries Holdings, Inc. (NYSE:CF) +10.53% jumped nearly 12% on Monday after Third Point LLC, the hedge fund run by activist investor Daniel Loeb, said it held an unspecified stake in the Illinois supplier of nitrogen and phosphate fertilizers. …Mr. Loeb, long known for agitating for change at public companies, played a big role in shaking up Internet technology company Yahoo! Inc. (NASDAQ:YHOO) -0.64% . as an activist shareholder and board member. He pushed for the ouster of former Yahoo! Inc. (NASDAQ:YHOO) Chief Executive Scott Thompson, and for reorganizing the board and hiring new CEO Marissa Mayer. Mr. Loeb said last week that he was leaving Yahoo! Inc. (NASDAQ:YHOO)’s board and unloading the bulk of Third Point’s shares in the company.
Blackstone’s New Hedge Fund Mutual Fund: A Winning Alternative (InvestorPlace)
The mysterious and lucrative world of hedge fund investing could be coming to a brokerage near you … and sooner than you think. Recent changes to federal and SEC oversight removed the marketing ban for hedge funds that has been in place for decades. Hedge funds are supposed to be targeted toward accredited (read: high net worth) investors as well as institutional and pension funds. But because of changes in the rules, the retail investing set can now access these funds. And private-equity kingpin The Blackstone Group L.P. (NYSE:BX) is here to help.
