Aspen Group Inc (ASPU): Omega Advisors Discloses Nearly 10% Passive Stake

Omega Advisors, managed by Leon Cooperman, disclosed a new passive stake in Aspen Group Inc (OTCBB:ASPU). A new filing with the U.S. Securities and Exchange Commission showed that the hedge fund holds 11.24 million shares of the company. The stake is equal to 9.99% of common stock.

Aspen Group Inc (OTCBB:ASPU) is an online post-secondary education company, which has a market cap of $22.5 million. The company’s subsidiary, Aspen University, offers different degree programs and certificates to students in a range of areas, including business management, information technology, education and nursing, etc.

Earlier this month, Aspen Group Inc (OTCBB:ASPU) reported the final closing of a $5.4 million private placement of equity securities to certain institutional and accredited investors. The offering was led by Sophrosyne Capital and Charlestown Capital, together with new investors Leon G. Cooperman, Global Undervalued Securities Master Fund, LP, Taurus Capital Partners LLC, and Dillon Hill Capital.

In July, Aspen Group Inc (OTCBB:ASPU) released results for its fiscal 2014 fourth quarter ended April 30, 2014. The company reported a 28% increase in revenues to $1.16 million. Its adjusted EBITDA dropped to a loss of $375,720, while net loss applicable to shareholders was $1.12 million, according to a press release.

Omega Advisors was founded by Leon Cooperman in 1991. It is a roughly $3.4 billion hedge fund based in New York City. In its recent 13F, Omega Advisors disclosed a diversified portfolio containing more than 85 long equity positions, with a market value of over $7.5 billion. The fund reported its largest stakes in Sprint Corporation (NYSE:S), SandRidge Energy Inc. (NYSE:SD) and American International Group Inc (NYSE:AIG).

Omega Advisors’ top new stocks include Navient Corp (NASDAQ:NAVI), in which it revealed owning 10.13 million shares, worth roughly $179.5 million. The fund’s second largest new stock position was the one at KKR & Co. L.P. (NYSE:KKR), in which it bought more than 5 million shares of the company over the quarter. Cooperman’s third stock pick for the quarter was none else than Apple Inc. (NASDAQ:AAPL). Over the second quarter of the year, the fund acquired 1.26 million shares of the company, worth $117 million. The position in Apple Inc. (NASDAQ:AAPL) accounts for more than 1.5% of Omega’s total equity portfolio.

Disclosure: none