Hedge Fund Perry Capital Bets On Paper Mills, Puerto Rico (Finalternatives)
Perry Capital, the $10.9 billion hedge-fund firm run by Richard Perry, is betting on the paper and packaging industry anticipating that the value of companies could double if they adopt a new tax structure. Perry took positions or increased holdings in International Paper Company (NYSE:IP), Rock-Tenn Company (NYSE:RKT) and KapStone Paper and Packaging Corp. (NYSE:KS), according to a second-quarter letter to investors, a copy of which was obtained by Bloomberg News. Perry said that containerboard management teams can create master limited partnerships for their paper mills, which would increase earnings…
Multi-Strategy Funds Win Big At The Hedge Funds Review Americas Awards 2014 (HedgeCo)
Hedge Funds Review and partner BarclayHedge have announced the winners of this years “Hedge Funds Review Americas Awards 2014.” Multi-strategy hedge funds were the big winners at the Hedge Funds Review Americas Awards, with Whitebox Advisors named ‘Best overall hedge fund group’ and Millennium Management winning ‘Hedge fund of the year’. …The Whitebox Credit Arbitrage fund was named ‘Best arbitrage hedge fund’. Other winners included: Glenview Capital Management, which won ‘Best long/short equity hedge fund’; P. Schoenfeld Asset Management, for ‘Best event driven hedge fund’; and Deer Park Road Corporation, which snagged the ‘Best fixed income/credit hedge fund’ award.
Hedge fund Greenlight details short bets, still likes Apple (Reuters)
Hedge fund manager David Einhorn‘s Greenlight Capital told investors on Friday that it has short bets against supermarket chain Safeway Inc. (NYSE:SWY) and Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) which was is being taken over by Mallinckrodt Pharmaceuticals. The firm is also short cigarette maker Lorillard Inc. (NYSE:LO). Martin Marietta Materials, Inc. (NYSE:MLM) and said that Mallinckrodt might make for an “attractive short sale candidate” if the merger is completed. Einhorn, whose comments on stocks are widely watched, also threw his weight behind long-time favorites Apple Inc. (NASDAQ:AAPL) and Marvell Technology Group Ltd. (NASDAQ:MRVL) plus Micron Technology, Inc. (NASDAQ:MU), saying they have “strong prospects and are undervalued.”
Citigroup Taps Boyle To Lead Equity Derivatives Division (Finalternatives)
Citigroup Inc (NYSE:C), the third-biggest U.S. bank by assets, appointed James Boyle as global head of equity derivatives, replacing Simon Yates who left this month to join a hedge fund. Boyle, 44, who’s currently Asia-Pacific head of equity trading, will remain in Hong Kong until he relocates to New York at the end of the year, according to an internal memo obtained by Bloomberg News. Godwin Chellam, a Hong Kong-based spokesman, confirmed the contents of the document.
Why a Private Takeover Would Be Good For PetSmart (Minyanville)
PetSmart, Inc. (NASDAQ:PETM) has been in the news recently after activist hedge fund Jana Partners took a big stake in the company and advocated potential changes, including a possible private equity takeover or a return of capital to shareholders. Of those two options, a private takeover would by far be the better choice for PetSmart. PetSmart is currently doing a good job of creating economic value, but the pressures of the quarterly earnings game and the need to return cash to shareholders has kept the company from making the best long-term decisions.
Facebook deserves to be higher: Cramer (CNBC)
$2.1B deal to sell Red Lobster slammed as ‘fire sale’ in suit (NYPost)
A controversial deal to sell Red Lobster is still causing indigestion. Starboard Value LP has sued Darden Restaurants, Inc. (NYSE:DRI) over its $2.1 billion agreement in May to sell Red Lobster to buyout firm Golden Gate, demanding books and records amid allegations of “a fire-sale price.” Starboard, a New York hedge fund whose successful effort to demand a special shareholder meeting this spring over the issue was ignored by Darden’s board, also disclosed in a securities filing that it has increased its Darden stake to 8 percent.
Winton’s low-cost equities fund tops $1bn for first time (FT)
Winton, the London-based hedge fund, has increased the assets in its low-cost equities fund to more than $1bn for the first time in a sign that traditional stock managers may come under increasing pressure from computer-driven rivals. Winton, which manages about $25bn in total assets using secret computer codes that analyse patterns in markets, has seen large inflows into its long-only equities fund this year, which was launched in 2009 to enable the hedge fund to trade in stocks alongside the futures markets that make up the bulk of its investments.
You can’t keep a good hedge fund promoter down (JournalInquirer)
When a hedge fund promoter goes to prison after being convicted of insider trading or some other crime related to his business dealings, one can be sure that his arrogance and disrespect for the law disappears only momentarily — that moment being when he is pleading for lenient terms from the judge. Raj Rajaratnam, founder of the Galleon Group, is the defendant in a civil suit filed by Peter Malaszuk, his former driver and personal assistant, who claims to have lost his job because of refusing to perform certain transactions for his former boss.
Closing hedge fund loopholes would mean so much (DesMoinesRegister)
In the July 22 article “Thirteen Hedge Funds Escaped Billions in Taxes,” we learned that just one of those funds, Renaissance Technologies, avoided paying $6.8 billion in taxes, aided by a big bank’s financial scheme. To give just one illustration, that amount of money would pay Iowa government’s per pupil support for all K-12 students for two years with plenty of money left over. Politicians on the right constantly say our country can’t afford one thing or another. Nonsense. All we have to do is close all the loopholes that allow corporations, hedge funds and others to avoid paying their fare share of taxes.
T. Boone Pickens-Backed PE Firm Flipping High-End Ranches (FoxBusiness)
A Dallas-based private-equity firm — backed by T. Boone Pickens — is looking to deliver major returns to its investors, and a whole lot of trout as well. Sporting Ranch Capital’s business plan focuses on flipping ranches. The two-year-old firm buys up neglected ranch land, refurbishes the property and then sells it off to wealthy outdoor enthusiasts. Fund manager Jay Ellis says he expects to provide investors with returns of over 20%.
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