Frank Brosens’ Taconic Capital filed recently that the firm increased its activist stake in CA Inc. (CA) to 5.14%. According to the SEC filing, Taconic Capital now has 25.35 million shares of CA in its portfolio, up from 24.70 million shares at the end of the third quarter. The disclosure pushed CA to rise 4% on Thursday.
Taconic Capital also revealed that it believes the company’s board and management should take actions to boost the shareholder value, including returning more cash to shareholders, implementing an efficient capital structure, and improving profit margins in its enterprise solutions segment.
Taconic Capital is CA’s largest activist hedge fund stakeholder. The company has a portfolio value of $3.65 billion in the third quarter 2011. The firm mainly invests in Healthcare, Technology, and Industrial Goods sector. Now Taconic Capital has a significantly larger position in the company than any other hedge funds we track. Cliff Asness’s Aqr Capital Management decreased its position by 5% and remained 640 thousand shares at the end of September. Jim Simons’ Renaissance Technologies initiated a new position of 556 thousand shares of CA during the third quarter.
CA, Inc. (CA) is “an independent enterprise information technology (IT) management software and solutions company. CA is engaged in the design, development, marketing, licensing and support of IT management software products that operate on a wide range of hardware platforms and operating systems.” according to Google Finance.