Coliseum Capital Buys Shares of Accuride Corporation at $3.23/Share

Christopher Shackelton and Adam Gray‘s activist hedge fund Coliseum Capital, disclosed buying 250,000 shares of Accuride Corporation (NYSE:ACW). The shares have been acquired in one transaction at a price of $3.23 apiece. Coliseum has been bullish on Accuride for some time now, and currently holds almost 7.93 million shares.

Another fund that is bullish on this stock is York Capital Management. James Dinan’s fund currently holds 2 million shares, calued at a little over $10 million. Roger Keith Long’s Otter Creek Management is also invested in this stock, with the fund holding 1 million shares valued at $5.1 million. Otter Creek, however, has trimmed their position by 280K shares during the 3rd quarter of 2013. Debra Fine of Fine Capital Partners has closed their position in Accuride. Fine previously owned approximately 860K shares.

On November 12, Accuride has announced a new agreement with United Steelworkers Local No. 2-475, which account for 600 hourly associates at the company’s Brillion Iron Works unit. The new agreement is valid through June 30, 2018. David Adams, the director of the subsidiary said:

We are pleased with this new agreement, which improves our ability to compete for, and earn, profitable new business, while recognizing the hard work of our talented and loyal associates at Brillion Iron Works

In their latest filing with the Securities and Exchanges Comission Accuride has reported revenues of $155 million, compared with the $187 million reported in the Q3 of 2012, and a loss per share of $0.39. The company’s shares are currently trading at $3.38 per share and have a beta of 3.72, which makes Accuride a volatile stock. Analysts have high hopes for this stock, expecting the price of Accuride to rise above the $4 threshold, estimating an average of $4.13 per share. The stock is mainly recommended as a Hold, Buy and Strong Buy.

Disclosure: none

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