Engaged Capital is a hedge fund that was founded in 2012 by Glenn W. Wellin, who previously sharpened his investment skills at famous Relational Investors where he was a Principal and Managing Director. The fund was launched with an initial capital of $85 million, and it has grown big since – holding $796.16 million in assets under management as of the end of October 2017. Engaged Capital looks for the public equities with market caps in the range from $300 million to $8 billion, avoiding commodity-based industries like utilities, energy and financial. In this article, we are going to take a look at the fund’s most important portfolio moves in the quarter behind us.
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At the end of March 2019, Engaged Capital’s concentrated equity portfolio was valued at $712.44 million having 12 long positions. During the quarter it made only one new purchase, acquiring a position in Medifast, Inc. (NYSE:MED) that was valued $1.43 million on the account of 11,242 Medifast’s shares. It raised its stakes in The Hain Celestial Group, Inc. (NASDAQ:HAIN) and SunOpta Inc. (NASDAQ:STKL).
During the first quarter of 2019, the fund also decided to lower a couple of its holdings and to exit some. It cut stakes in Magellan Health, Inc. (NASDAQ:MGLN), Benchmark Electronics, Inc. (NYSE:BHE), and Aratana Therapeutics, Inc. (NASDAQ:PETX). As for the holdings Engaged Capital completely sold out in Q1 2019 those included Anika Therapeutics, Inc. (NASDAQ:ANIK), Groupon, Inc. (NASDAQ:GRPN), Astec Industries, Inc. (NASDAQ:ASTE), and Babcock & Wilcox Enterprises, Inc. (NYSE:BW).
This article is originally published at Insider Monkey.