Abrams Capital Management, founded by David Abrams, recently disclosed an ownership stake of just under 5.30 million shares in the newly spun-off Barnes & Noble Education Inc. (NYSE:BNED) via a Form 3 filed with the SEC. Even more to that, Abrams Capital Management reported purchasing an additional 149,793 shares, increasing the fund’s total stake in the company to nearly 5.45 million shares.
Abrams Capital Management is a Boston-based hedge fund founded by David Abrams in 1999. The investment firm takes a fundamental, value-oriented approach to investing and follows an opportunistic investment strategy. Abrams Capital Management invests in a wide range of vehicles such as distressed securities, private and/or illiquid securities, and global equity and debt securities. The firm’s investments are generally held for a long-term horizon and do not use leverage. David Abrams had worked at Seth Klarman’s Baupost Group for ten years prior to launching his own shop. It’s also worth mentioning that Abrams’ hedge fund has delivered an annualized return of approximately 15% since its foundation in 1999. As stated by its latest 13F filing with the SEC, Abrams Capital Management oversees a public equity portfolio with a market value of $1.47 billion as of June 30.
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Barnes & Noble Education Inc. (NYSE:BNED) rang the opening bell at the New York Stock Exchange on August 3, after spinning-off from its parent company Barnes & Noble Inc. (NYSE:BKS). Barnes & Noble Education is a provider of bookstore operation services and an industry leader with 724 campus stores serving colleges and universities throughout the United States. Following the spin-off, former Chief Executive Officer of Barnes & Noble, Michael Huseby, became the CEO of the newly spun-off company. It’s worth noting that the stockholders who held BKS common stock on July 27 received a distribution of 0.632 BNED common shares for each share of BKS common stock.
