Arthur B Cohen and Joseph Healey’s Healthcor Management revealed today for its 3 million shares, or 10.54% passive stake in Magellan Health Services, Inc. (MGLN), according to the amend 13G filing. Healthcor Management did not change its previous position in MGLN after Match 2011. MGLN is recovering quickly in the third quarter. Now the stock has returned about 10% year to date and is near to its 5-year high. MGLN is closed at $51.47 on Monday.
Twelve hedge funds had MGLN in their portfolios in the second quarter. Several famous hedge funds are bullish about the stock following Healthcor Management’s 3 million shares position. Jim Simons’ Renaissance Technologies had 1.23 million shares in MGLN, corresponding to a 4.34% stake. Chuck Royce’s Royce & Associates had 1.02 million shares, or 3.58% stake. Ken Griffin’s Citadel Investment Group invested 63 thousand shares in the stock.
HealthCor Management is a $3 billion healthcare hedge fund founded by Arthur Cohen and Joseph Healey. Cohen graduated from the University of Virginia in 1983 with a B.A. degree in Commerce and received his M.B.A. in Banking and Finance from Hofstra University in 1986. He worked for Julian Robertson between 1995 and 2000. He was responsible for healthcare investments as a Managing Director at Tiger Management. He partnered with Joseph P. Healey in September 2005. The duo worked at Steven Cohen’s SAC until 2005. (See the full entry)
Magellan Health Services, Inc. is involved in the specialty managed healthcare business. The company serves health plans, insurance companies, employers, labor unions and various governmental agencies. The company operates Managed Behavioral Healthcare segment, Radiology Benefits Management segment, Specialty Pharmaceutical Management segment, Medicaid Administration and Corporate segment. Before July 1, 2010, the company was called First Health Services Corporation. The company was founded in 1969 and is based in Avon, Connecticut.