Activist investor Keith Meister is determined to step up his interest in Pandora Media Inc. (NYSE:P) as he is agitating for the sale of the company. His fund, Corvex Capital currently holds 11.4 million shares of the internet radio company, as well as 7.64 million shares underlying call options, giving it economic exposure to approximately 8.3% of Pandora’s outstanding stock. By virtue of cash-settled swaps the fund has economic exposure to a further 3.69 million shares, which would take its holding to 9.9% of Pandora’s common stock. In a recent filing with the Securities and Exchange Commission, Corvex and Meister state their intention to acquire more shares.
According to the filing, Corvex is petitioning US regulator for permission to boost its holding of Pandora Media Inc. (NYSE:P) to as much as 14.99% without further approval. Corvex announced the stake back in May and said its representatives had already held talks with the management of the company regarding ways to increase shareholder value, including a potential sale.
Pandora shares jumped by as much as 10% last week on reports that Liberty Media Group made an informal offer to buy the company for $15 a share. The company’s board, however, values its shares at approximately $20 per share, according to a report.
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Hedge fund interest in Pandora Media Inc. (NYSE:P) cooled down during the first quarter, with the number of long positions having dropped to 35 at the end of March, from 48 positions registered a quarter before. David Goel and Paul Ferri‘s Matrix Capital Management held the largest stake among the funds followed by Insider Monkey, which amounted to 22.7 million shares. Ricky Sandler‘s Eminence Capital had its stake increased by 34% during the quarter to some 14.3 million shares.
You can access the original SEC filing by clicking here.
Ownership Summary Table
| Name | Sole Voting Power | Shared Voting Power | Sole Dispositive Power | Shared Dispositive Power | Aggregate Amount Owned Power | Percent of Class |
|---|---|---|---|---|---|---|
| CORVEX MANAGEMENT | 19,066,942 | 0 | 19,066,942 | 0 | 19,066,942 | 8.3% |
| KEITH MEISTER | 19,066,942 | 0 | 19,066,942 | 0 | 19,066,942 | 8.3% |
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Page 1 of 7 – SEC Filing
| * | The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page. |
