Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Clint Carlson, Carlson Capital Now Own 6.7% Of Boise Inc

Clint Carlson, Carlson Capital: Boise Inc. (NYSE:BZ) was recently upgraded in the equity portfolio of Clint Carlson‘s hedge fund Carlson Capital. The hedge fund recently disclosed ownership of over 6.7 million shares of Boise, which is equivalent to 6.7% of the company, and at the current price of company’s stock, the value of the stake amounts to $85.5 million. Through the recent transaction, Carlson Capital boosted its stake from the previously disclosed 1.2 million shares.

Boise Inc. (NYSE:BZ)

With the recent addition, Carlson became one of the largest shareholders of the company, and it now has more power to pursue the ideas it got for the development of Boise. According to a letter attached to the filing, Carlson’s plan involves the separation of Boise’s paper segment to create a spin-off company. The hedge fund also said that it will not participate in the tender offer initiated by Packaging Corporation of America (PCA), which offered the price of $12.55 per share. According to Carlson, the price for Boise’s shares stands between the $14 and $17 range.

“We believe that a business separation would better enable Boise to participate in industry consolidation in a way that benefits current stockholders and is also superior to the transaction being proposed by PCA. Our view has always been that Boise’s ownership of both Paper and Packaging assets is suboptimal and has severely limited the value it could create through consolidation. The market would likely punish Boise’s share price for acquiring even attractive assets in the Paper segment, and the Company’s paper exposure has likely limited the willingness of a pure-play packaging company to offer full value for Boise’s Packaging segment (“Boise Packaging”), which we view as the case with PCA’s proposal,” Carlson Capital said.

Aside from Carlson Capital, some other hedge funds disclosed ownership of Boise shares in the latest round of 13F filings. In line with Carlson Capital, John Paulson’s Paulson & Co is one of the largest shareholders of Boise owning almost 6.8 million shares. They are followed by Jim Simons’s Renaissance Technologies, and Aqr Capital Management, managed by Cliff Asness, which hold 974,000 shares and 772,400 shares respectively.

Check out Carlson’s full letter below:

EX-99, Boise Inc-Carlson Capital

Recommended Reading:

Is There Any Value in Bill Ackman’s Holdings?

Hedge Fund Advertising, Start Your Engines

Hedge Fund Returns in 2013: The Top 20

Disclosure: none

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!