AEP Industries (AEPI): KSA Capital Management Trims Activist Stake To 17.04%

KSA Capital Management, run by Daniel Khoshaba, has reduced its activist stake in AEP Industries (NASDAQ:AEPI). In a newly-amended filing with the U.S. Securities and Exchange Commission, KSA Capital disclosed that it holds 865,584 AEP Industries (NASDAQ:AEPI) shares, which represents a decrease from 881,792 shares the fund held earlier. The new stake is equal to 17.04% of the company’s common stock.

Founded by Mr. Khoshaba in 2004, KSA Capital Management is based in Morristown, New Jersey. The fund has been managed by Mr. Khoshaba since its inception and returned around 10% per year since its start. Mr. Khoshaba previously worked at Deutsche Bank AG as managing director and senior analyst. Mr. Khoshaba also served as a director of AEP Industries (NASDAQ:AEPI) from February 11, 2010, to August 9, 2010.

KSA Capital Management invests in industrial, materials, and consumer goods stocks. As of the end of the third quarter of 2014, the value of the KSA Capital Management’s equity portfolio value totaled nearly $433 million, up from around $371 million in the prior quarter. The fund disclosed its largest stakes in AEP Industries (NASDAQ:AEPI), TRW Automotive Holdings Corp. (NYSE:TRW), and Owens-Illinois Inc (NYSE:OI). KSA Capital Management reported upping its stake in TRW Automotive Holdings Corp. (NYSE:TRW) to 79,250 shares, accounting for 1.85% of its portfolio. At the same time, the fund increased its holding in Owens-Illinois Inc (NYSE:OI) by more than 30% to 254,313 shares, as of the end of September 2014. In addition, KSA Capital Management was bullish on SeaWorld Entertainment Inc (NYSE:SEAS), in which it upped its stake to 271,587 shares.

In April 2014, KSA Capital Management reported increasing its stake in AEP Industries (NASDAQ:AEPI) to 1.07 million shares from around 925,000 shares. Since then, AEP Industries (NASDAQ:AEPI) stock showed improvement, moving up by more than 50%.

AEP Industries (NASDAQ:AEPI) Director Lee C Stewart sold 370 shares of the company at a price of $55.35 a share on January 21. Following the sale, Stewart now holds 5,448 shares of the company.