Kenneth Mario Garschina’s Mason Capital initiated a new position in Fortune Brands Home & Security, Inc. (FBHS). According to the firm’s 13G on October 14th, Mason Capital has 10.74 million shares in FBHS, or approximately 6.9% passive stake. FBHS has only 1 month trading history in NYSE. In September, Fortune Brands spun off its Home & Security business to existing shareholders (FBHS) and changed its parent company name to Beam Inc. (BEAM). So shareholders who had Fortune Brands’ parent company shares will receive the same amount of new shares in FBHS, and the old parent company shares will automatically convert into BEAM. It’s possible that Mason Capital received a large amount of FBHS share during the spinning off process.
Mason Capital is a New York-based hedge fund. The firm reported a more than $3 billion portfolio value in the second quarter. It mainly invests in Technology, Healthcare, Basic Material, Consumer Goods, Utilities, Financial, Industrial Goods, and Services sector.
According to Yahoo! Finance, Fortune Brands Home & Security, Inc. engages in the manufacturing and selling products “for use in residential home repair, remodeling, new construction, security, and storage applications”. The company operates four segments, including Kitchen & Bath Cabinetry segment, Plumbing & Accessories segment, Advanced Material Windows & Door Systems segment, and Security & Storage segment. The company primarily sells its products through dealers, wholesalers, distributors, do-it-yourself remodeling-oriented home centers, and other outlets.