Founded in 1998, Sandell Asset Management is an event-driven hedge fund that invests mainly in public equity and fixed income across the globe. The fund’s manager, Tom Sandell, has a good eye for opportunities generated by special corporate events: spin-offs, recapitalization or corporate activism. He is also paying close attention to possible mergers, eyeing a wide variety of transactions, including hostile takeovers. According to the fund’s latest 13F filing, its equity portfolio has an estimated market value of $542 million, down from the $615 million worth of stocks reported at the end of March 2014. Roughly 45% of the portfolio are represented by consumer discretionary stocks, while technology stocks come in second with 21%. Sandell also has a taste for finance companies, which account for 14% of the fund’s equity portfolio. According to Forbes, Sandell’s net worth is roughly $1.3 billion.
Tom Sandell has a new favorite stock - Bob Evans Farms Inc (NASDAQ:BOBE), a company that was Sandell Asset Management’s second biggest investment at the end of the first quarter. During Q2, Sandell has made no changes to the position, so the fund continues to hold 1.42 million shares of Bob Evans Farms Inc (NASDAQ:BOBE), which carry a value of $71.3 million. Chuck Royce is also a fan of this company and has slightly boosted his fund’s stake during the same period of time. His fund, Royce & Associates, reportedly holds 432,700 shares of Bob Evans Farms Inc (NASDAQ:BOBE), valued at approximately $21.6 million.
During the second quarter, Sandell has slightly reduced his fund’s stake in Compuware Corporation (NASDAQ:CPWR), the company that was his biggest bet at the end of March. In its latest 13F filing, Sandell Asset Management has disclosed the ownership of 7.04 million shares valued at $70.3 million. Paul Singer is another hedge fund guru who is betting big on Compuware Corporation (NASDAQ:CPWR). During the second quarter, Singer has increased his fund’s stake by 1% taking it to 21 million shares of Compuware Corporation (NASDAQ:CPWR), an investment worth more than $210 million.
Meritor Inc (NYSE:MTOR) is a stock Sandell is bullish on, having increased his fund’s holding by 55% during the quarter. As a result, Sandell Asset Management now has control over 4.01 million shares of Meritor Inc (NYSE:MTOR), a position worth in excess of $52.2 million. Marc Lasry is also keeping an eye with his fund holding approximately 7.34 million shares worth $957 million. Lasry’s Avenue Capital has not reported any changes in its stake in Meritor Inc (NYSE:MTOR) during the quarter.