Trey Reik’s Bristol Investment Partners changed its previous passive stake ownership in Jaguar Mining Inc. (JAG) into activist on December 20th. According to a SEC filing, Bristol Investment Partners now has 7.13 million shares in JAG, corresponding to an 8.5% activist stake in the company. Bristol Investment Partners reveals in the filing that it has serious concerns regarding the company’s recent events. Bristol Investment Partners believes the board lacks open communication with shareholders regarding an acquisition proposal offer of $9.30 per share in cash from Shandong Gold, and doubts “whether the Board’s interests are fully aligned with shareholders in reviewing and negotiating a potential transaction with Shandong.” Bristol Investment Partners reported 3.87 million shares in JAG at the end of June, and 4.93 million shares at the end of the third quarter.
In the third quarter, Bristol Investment Partners had the most shares in JAG among the hedge funds that had the stock in their portfolios. Peter Franklin Palmedo’s Sun Valley Gold took the second place with 4.29 million shares. Eric Sprott’s Sprott Asset Management had 2.53 million shares at the end of September.
Per Businessweek, Bristol Investment Group, Inc. is “a boutique investment bank that provides corporate finance and advisory services. Its services include corporate governance, going private transactions, mergers and acquisitions, and management buyouts advisory. Additionally, the firm provides brokerage, sponsoring recapitalizations; raising debt and equity; and fairness opinions and valuations services. Bristol Investment Group was founded in 1990 and is based in New York, New York.”
Per Google Finance, Jaguar Mining Inc. is a gold mining company. The company “engaged in gold production and in the acquisition, exploration, development and operation of gold mineral properties in Brazil. Jaguar’s three producing properties, Turmalina, Paciencia and Caete, are located in or adjacent to the Iron Quadrangle region of Brazil, a greenstone belt located east of the city of Belo Horizonte in the state of Minas Gerais. Through its wholly owned subsidiaries, Mineracao Serras do Oeste Ltda. (MSOL), Mineracao Turmalina Ltda. (MTL) and MCT Mineracao Ltda. (MCT), Jaguar has interests in, and controls the mineral rights, concessions and licenses to the mineral resources and reserves.”