Two Reputable Hedge Funds Boosted Stakes in These Struggling Companies

Let’s now provide a brief introduction to the other fund mentioned in the article. Coliseum Capital is private investment firm co-founded by Christopher Shackelton and Adam Gray in December 2005. The firm primarily focuses on long-term investments in both public and private companies. The latest round of 13F filing indicates that Coliseum Capital oversees an equity portfolio worth $295.01 million.

We can move on to Coliseum Capital’s bet, Accuride Corporation (NYSE:ACW), which is a manufacturer of commercial vehicle components in North America. Even though the vehicle industry has been quite strong lately, with the production of trucks and trailers gaining steam during the second quarter, the shares of Accuride have lost more than 36% since the beginning of the year. The strengthening U.S. economy has also injected more dynamism into the vehicle industry, but the manufacturer’s stock performance does not reflect the improving conditions of this industry. Just recently, Accuride Corporate launched a mobile application that enables its current and potential customers to access product information on its wheels and other wheel-end components, in an attempt to lift up its global sales. However, it appears that the company’s Brillion business segment has been putting downward pressure on its operations and stock performance in particular. Accuride anticipates Brillion’s 2015 net sales to be 15% – 20% lower year-over-year, primarily owing to the negative effect of the low-price commodity environment on the demand for Brillion’s oil and gas, agricultural and mining end markets. Meanwhile, Peter Schliemann’s Rutabaga Capital Management is among the largest equity holders of Accuride Corporation (NYSE:ACW) within our database, holding a 2.86 million-share stake.

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