D.E. Shaw is Going to Trial Over the Sale of a Litigation Finance Portfolio Company, Shining a Light on a Side-Pocket Deal at the Secretive Hedge Fund Firm (Business Insider)
An ongoing legal battle between the high-powered hedge fund D.E. Shaw and a former executive of a portfolio company is shining light on the difficulty of valuing private companies. Gary Chodes, the founder of Oasis Financial, a player in the booming litigation finance space, is suing the $50 billion hedge fund, claiming that it sold Oasis in a hurry for less than what it was worth. D.E. Shaw bought a majority stake in Oasis in 2007 through a fund known as D.E. Shaw Composite Side Pocket, and it sold the company to the private-equity manager Parthenon in 2016.
Steadview in Talks to Lead Fresh Funding Round in 2-Wheeler Rental Startup Vogo (LiveMint.com)
MUMBAI : Hedge fund Steadview Capital is in talks to lead a $50 million funding round in two-wheeler rental startup Vogo, said two people aware of the matter. Existing investors such as venture capital firms Matrix Partners, Stellaris Venture Partners and Kalaari Capital are also expected to participate in the round, said the people cited above, who requested anonymity as the talks are private. “Steadview has had early conversations with Vogo for an investment, but it is still evaluating the viability and scalability of the sector,” said the first of the two persons cited above.
A Hedge Fund that Spun of Out of Citadel has been Doing Some Heavy Hiring (eFinancialCareers.com)
If you’re looking for a buy-side equities job in New York City this year, you might want to give Candlestick Capital a try. Even more so if you happen to have left Deutsche Bank. Founded earlier this year by Jack Woodruff, a star equities portfolio manager at Citadel‘s Surveyor Capital, Candlestick is expected to begin trading in the next few months. It’s already amassed an impressive roster of talent, including Craig Bench, the former most cheerful man in Deutsche Bank’s equities business (and DB’s ex co head of NY institutional equity sales), its co-president.
GMT Capital Acquires Shares of Stage Holdco Ltd. (GlobeNewswire.com)
ATLANTA, Sept. 10, 2019 (GLOBE NEWSWIRE) — Pursuant to the early warning requirements of applicable securities laws, GMT Capital Corp. (“GMT”) announces that effective January 4, 2019, pursuant to a plan of arrangement (the “Arrangement”) involving, among others, Pipestone Oil Corp. (“Pipestone”) and Blackbird Energy Inc. (“Blackbird”), certain of GMT’s hedge fund and private client managed accounts received an aggregate of 126,275,300 common shares (“Common Shares”) of Stage Holdco Ltd. (“Stage Holdco”) representing approximately 14.71% of the outstanding Common Shares, and that common share purchase warrants (“Warrants”) of Blackbird (predecessor to Pipestone) held by such managed accounts were adjusted to, among other things, entitle them to acquire an additional 38,098,300 Common Shares representing approximately 4.44% of the outstanding Common Shares.
AT&T has New ‘Upside Potential’ Thanks to ‘Great Agitator’ Elliott Management: Strategist (CNBC)
Activists have taken aim at AT&T. Shares of the telecommunications colossus surged to a 52-week high Monday after Paul Singer’s activist hedge fund Elliott Management revealed it owns $3.2 billion worth of AT&T’s common stock. The firm wrote in an open letter to the company’s board that it intends to help the company sell off parts of its business and that it could see the $37 stock rallying as high as $60.
Mazel Tov To The Latest Bar Griffzvahs! (Deal Breaker)
It’s a tale as old as time: Fresh-faced (or not-so-fresh-faced) portfolio managers and analysts seek admission to the hedgiest of hedgies, Citadel Investment Group. After having all of their fingernails pulled out, a select few are invited into the tabernacle to prepare for their ultimate rite of passage, all under the all-seeing, all-spooning eye of Ken Griffin, at least when he’s not buying another eight-figure property in Palm Beach. Not everyone is strong enough to complete the journey; some flee before their molding and training is complete. But for those with the right stuff, and who can survive the months or even years of, let’s call it mentoring, the moment will eventually come: The moment in which they lose Ken Griffin some money, and they are called to the bima to be yelled at and then escorted out of the building.
Thomas Cook Rescue to Be Challenged (Bloomberg)
Holders of credit insurance on Thomas Cook Group Plc are drawing up plans to potentially block the U.K. travel agent’s $1.1 billion rescue in order to ensure they get a payout. The group of hedge funds, including Sona Asset Management and XAIA Investment GmbH, may vote against a bailout led by Fosun Tourism Group at a creditor meeting on Sept. 18 if they don’t secure their payment before then, according to people familiar with the plan. Fosun’s rescue includes a debt-for-equity swap that could prevent compensation on their default insurance.
Hedge Fund Managers Up 0.31 per cent in August (HedgeWeek.com)
The Eurekahedge Hedge Fund Index was up 0.31 per cent1 in August, outperforming the MSCI ACWI (Local) which ended the month down 2.37 per cent. Tariff threats and slowing growth prompted the People’s Bank of China to allow the CNY to weaken past the symbolic 7 per USD level early into the month, which in turn resulted in the US Treasury Department labelling China a currency manipulator. The risk-off sentiment among investors during the month was mostly driven by political concerns encompassing the US-China trade war, the deteriorating bilateral relationship between Japan and South Korea, the ongoing protests in Hong Kong, and the risk of a no-deal Brexit among other things.
Tuesday 9/10 Insider Buying Report: AERI, NKTR (Nasdaq.com)
On Monday, Aerie Pharmaceuticals’ Chief Executive Officer, Vicente Anido Jr., made a $498,952 buy of AERI, purchasing 26,250 shares at a cost of $19.01 a piece. So far Anido Jr. is in the green, up about 16.2% on their buy based on today’s trading high of $22.09. Aerie Pharmaceuticals is trading up about 5.1% on the day Tuesday. This purchase marks the first one filed by Anido Jr. in the past year. And at Nektar Therapeutics, there was insider buying on Thursday, by SVP & Chief Scientific Officer Stephen K. Doberstein who bought 15,000 shares at a cost of $17.28 each, for a total investment of $259,200. Nektar Therapeutics is trading up about 10.3% on the day Tuesday. Doberstein was up about 16.9% on the purchase at the high point of today’s trading session, with NKTR trading as high as $20.20 in trading on Tuesday.
Judge’s Order Hints at Trouble for Collins’ Defense in Insider Trading Case (The Buffalo News)
WASHINGTON – The judge in the insider trading case against Rep. Chris Collins has made his biggest decision in the case so far this year, and while the judge kept that decision a secret for now, a bare-bones order he filed publicly appears to bode badly for the Republican lawmaker from Clarence. In an order issued Friday and made public Monday, U.S. District Court Judge Vernon S. Broderick said that he had finished his opinion on two defense motions that aim to force prosecutors to turn over more evidence in the case.
Becton, Dickinson And Co (BDX) Chairman, CEO and President Vincent A Forlenza Sold $3 million of Shares (Guru Focus)
Chairman, CEO and President of Becton, Dickinson And Co., Vincent A Forlenza, sold 11,532 shares of BDX on 09/06/2019 at an average price of $260.38 a share. The total sale was $3 million. Becton, Dickinson and Co is a healthcare company. It manufacture and sales medical supplies, devices, laboratory equipment and diagnostic products. It operates in two segments BD Medical and BD Life Sciences. Becton, Dickinson and Co has a market cap of $68.77 billion; its shares were traded at around $254.74 with a P/E ratio of 89.38 and P/S ratio of 4.08. The dividend yield of Becton, Dickinson and Co stocks is 1.20%.
The ‘Silver Platter’ Insider-Trading Case Is Back (Bloomberg)
(Bloomberg) — It was an insider-trading case on a silver platter. At least, that’s how it looked to the prosecutors. The FBI had an undercover recording of the father of Perella Weinberg Partners LP’s former managing director Sean Stewart saying his son chastised him for missing a chance to trade on inside information.
Insider Trading: September 10, 2019 (BIV.com)
The following is a list of stock trades made by corporate executives, directors and other company insiders of B.C.’s public companies filed in the week ended September 4, 2019. The information comes from a compilation of required reports filed with the BC Securities Commission obtained from DisclosureNet.com. Insider Nicholas James Campbell, officer. Company: Silvercrest Metals Inc. (TSX:SIL). Shares owned: 334,000. Trade date: August 30, September 3. Trade total: $631,020. Trade: Sale of 75,000 shares at prices ranging between $8.32 and $8.50 per share.
CFTC Charges Unregistered Forex Trading Firm and Its Principal with Fraud and Misappropriation (HedgeCo.net)
(HedgeCo.Net) The U.S. Commodity Futures Trading Commission has filed a civil enforcement action in the Southern District of New York against defendants Dominick Vincent Carducci and his company VOS Capital Management, LLC (VOS Capital), both of South Carolina. The defendants are charged with fraud and misappropriation in connection with the unlawful operation of a commodity pool that purported to trade leveraged or margined foreign currency (retail forex). The CFTC complaint alleges fraudulent solicitation of at least 30 commodity pool participants, as well as the misappropriation of over $1.1 million of pool funds that defendants used to reimburse certain participants and for Carducci’s personal use, such as international travel, luxury automobiles, and student loan debt.