Monarch Alternative Capital Also Inititates a Position in Trade Street Residential Inc (TSRE)

Michael Weinstock’s Monarch Alternative Capital disclosed in a filing that it has initiated a position in Trade Street Residential Inc (NASDAQ:TSRE), by purchasing 8.45 million shares, which represents a 23.25% stake in the company’s common stock.

Trade Street Residential Inc (NASDAQ:TSRE)

 

Monarch Alternative Capital acquired the shares of Trade Street Residential Inc (NASDAQ:TSRE) for investment purposes, intending to participate in the governance of the company. It is expecting to obtain certain stockholder rights that are granted to the Backstop Investor as per the Backstop Investor’s Stockholders Agreement, following which, the fund will obtain the rights of representation on the company’s board, preemptive rights, liquidity rights, consent rights, registration rights and other rights.

Monarch acquisition, comes only a couple of days after Douglas Silverman and Alexander Klabin‘s Senator Investment Group, also disclosed initiating a stake in the company. Their holding currently involves 9.32 million shares, equal to 25.6% of the common stock.

Trade Street Residential Inc (NASDAQ:TSRE) is a real estate investment trust, which stock has posted a significant gain of over 6,000% for the past year. Last week, Trade Street acquired two communities, with first being a 288-unit apartment community located in Wake Forest at a price of $37.2 million and the other being a 330-unit apartment community located in Memphis, Tennessee at $43.8 million. Recently, the company has completed its $150 million recapitalization of an offering of 15.80 million shares at $6.33 per share and $50 million private placement to certain affiliates of Senator Investment Group LP at $6.33 per share.

Recently, various insiders have shown interest in Trade Street Residential Inc (NASDAQ:TSRE)’s shares. Amongst them are directors Lewis Gold, Mack Pridgen and Michael Baumann, who purchased 16,666 shares, 25,483 shares, and 120,766 shares respectively. David Levin, Vice Chairman and President at Trade Street bought 165,528 shares, while Chief Financial Officer Richard Ross also purchased 1,377 shares on the same date.

Of the hedge funds we track, Forward Management, led by J. Alan Reid, Jr., in the latest 13F revealed owning 1.14 million shares. It is followed by Louis Bacon’s Moore Global Investments, with 90,530 shares, worth $630,000.

Michael Weinstock’s Monarch Alternative Capital concentrates mainly in distressed and bankruptcy situations.

The fund had initiated a position in some of the companies in the third quarter of 2013. It bought 1.52 million shares of American International Group Inc (NYSE:AIG), 3.34 milion shares of WCI Communities Inc (NYSE:WCIC) and 3.87 million shares of Star Bulk Carriers Corp. (NASDAQ:SBLK), during the period.

Disclosure: none

Recommended Reading:

Intrepid Capital Management Cuts Exposure to World Wrestling Entertainment, Inc. (WWE); Closes Stake in EPIQ Systems, Inc. (EPIQ)

Pershing Square Buys Into Platform Specialty Products Corporation (PAH)

Soros Trims Exposure to Exar Corporation (EXAR)

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

Rito Pls Buff: The 10 Least Played Champions in LoL Season 4

10 Covers of Popular Songs that are Better than the Originals

Must See TV: The 9 Most Anticipated Shows of 2015

The 15 Biggest Box Office Bombs of All Time

10 Things The World Can’t Stand About Americans

Picture Perfect: The 6 Smartphones with the Best Cameras

The 10 Best Countries To Work In the World

A Profitable Day At The Track: 5 Tips For Betting On Horses

Tearing You Apart: 6 Bad Habits That Ruin Relationships

Learning on the Job: The 6 Biggest Mistakes Parents Make

Shopaholics Rejoice: The 12 Biggest Malls in the World

Fright Night: 10 Horror Movies Based on True Stories

Mach Mania: The 10 Fastest Jets in the World

Military Heavyweights: The 10 Countries with the Most Tanks

All In: The 7 Richest Poker Players in the World

Abracadabra: The 10 Best Magicians in the World

The 10 Richest Asian Countries in the World in 2014

Eyes in the Sky: 10 Things You Need to Know About Drones

Rising Stars: The 6 Best Silicon Valley Startups

Military Muscle: The 5 Most Advanced Armies in South America

All that Glitters: The 7 Most Luxurious Jewelry Brands in the World

5 Things You Didn’t Know About ISIS but Should

Empowering Your Money: The 5 Best Energy Stocks to Invest In

The 11 Best Android Apps You Can’t Get on iOS

The 10 Most Important International Conflicts in 2014

Mood Enhancers: The 20 Most Uplifting Songs of all Time

Lover Beware: The 8 Countries that Cheat the Most

Breath of Fresh Air: The 25 Countries with the Best Air Quality on the Planet

Singles Beware: The 8 Worst Mistakes Made on First Dates

Healthy and Happy: The 10 Countries with Lowest Healthcare Costs

The 6 Best Company Team Building Activities to Build Workplace Camaraderie

Ships Ahoy: The 10 Busiest Shipping Ports in the World

10 Productivity Tips to Save You Time and Help You Do More With Less

Grab a Bite: The Most Popular Fast Food Restaurants in America

Friday Night Thirst: The 10 Most Popular Cocktails in the World

The 6 Greatest Unsolved Mysteries We May Never Figure Out

7 Useless Products You Never Should’ve Bought

The 5 Reasons Why You’re Single and Miserable

The 7 Most Addictive Foods in the World We Can’t Stop Eating (Even Though We Should)

5 Amazing Places You Can Swim with Dolphins

The Top 7 Most Livable Countries In The World

The 10 Most Expensive Baseball Cards Ever Pulled From A Pack

The 5 Easiest Second Languages to Learn for English Speakers

Silver Spoon: The 6 Richest Families in the World

The 20 Countries with the Largest Prison Populations in the World

The Top 10 Richest Actors in the World

The 10 Best Airline Stocks to Invest In Before They Fly Too High

Burger Kings: The 10 Most Expensive Burgers in the World

The 10 Most Ethnically Diverse Countries in the World

The 10 Most Exclusive Credit Cards in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

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 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!