Icahn has meaningful experience working with oil companies, which means he knows what buttons he needs to push. Last year, Icahn acquired more than an 80 percent equity stake in the Texas based oil refiner CVR Energy, Inc. (NYSE:CVI) through a tender offer. CVR Energy, Inc. (NYSE:CVI) is a player with relatively solid margins, but Icahn failed to find a suitor for the refiner largely due to the fact that most existing players didn’t want to make an acquisition.
Meanwhile, CVR Energy, Inc. (NYSE:CVI) has continued to perform better and its stock price continues to go up. For the latest quarter, CVR Energy managed to double its profits to $208 million, as revenues grew 78.3 percent.
Whether Transocean becomes another Herbalife Ltd. (NYSE:HLF) in terms of stock performance or not remains a question best left to time. However, Icahn has just started started building a stake in Transocean. Coupled with the company’s depressed stock price, the opportunity to strike big with this stock is possible.
The article Can Carl Icahn Perform a Hat Trick with Transocean? originally appeared on Fool.com and is written by Jacob Wolinsky.
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