Einhorn: Here’s What I’m Still Long and Short (CNBC)
Widely followed hedge fund manager David Einhorn reiterated his belief in two existing positions at an investment conference Tuesday: A short bet against Athenahealth and a long play in AerCap, according to a person who witnessed the presentation. The remarks were made at an event hosted by Grant’s Interest Rate Observer in New York. A spokesman for Einhorn’s Greenlight Capital declined to comment. Athenahealth stock declined about 2.8% in morning trading and had been down more than 4% at one point. AerCap was up about 2.6% at the same time.
Berkshire Buys Nearly 10 pct Stake in Axalta for $560M (CNBC)
Warren Buffett’s Berkshire Hathaway Inc. will pay $560 million for a nearly 10% stake in Axalta Coating Systems, which has seen its stock rise more than 36% since it went public last fall. Axalta makes high performance coating systems for use on vehicles and in industrial markets. Axalta Coating Systems Ltd. said Tuesday that Berkshire will pay $28 per share to buy 20 million shares of Axalta from the private equity firm The Carlyle Group, which will still hold a 45% stake in the Philadelphia company after the sale. Berkshire’s price is a slight discount to the stock’s closing price of $28.33 on Monday.
Hedge-Fund Manager Kyle Bass Challenges Jazz Pharmaceuticals Patent (Wall Street Journal)
Hedge-fund manager Kyle Bass filed a patent challenge late Monday against Jazz Pharmaceuticals PLC and its narcolepsy drug Xyrem. The challenge was the latest salvo in Mr. Bass’s new battle against pharmaceutical companies that he believes host spurious patents to keep drug prices artificially high. The challenge was filed in the name of the Coalition for Affordable Drugs, an organization partly controlled by Mr. Bass. Shares of Jazz Pharmaceutical rose 0.4% to $168.70 in early trading on Tuesday after falling 2.9% in pre-market trading. The company didn’t immediately respond to a request for comment.
The World’s Largest Hedge Fund Had a Huge Quarter Betting Against the Euro (Bloomberg)
Ray Dalio’s dire view on Europe is paying off. His Bridgewater Associates, the world’s largest hedge fund, climbed about 14% this year through March in one of its strategies, according to a person familiar with the matter. The year-to-date return was fueled by a bet against the Euro, said the person, who asked not to be identified because the information is private. “The lack of aggressive policy action by the ECB and other governing actors has resulted in stagnation and depression across much of the Eurozone,” the $165 billion, Westport Connecticut-based firm wrote in its 2015 strategic report, a copy of which was obtained by Bloomberg News.
Peltz to Sonnenfeld: Get Your Facts Straight (CNBC)
Lashing back at critical comments from management expert Jeffrey Sonnenfeld, Trian Fund’s Nelson Peltz said Thursday the Yale “professor should do a little bit more digging” and get his facts straight. “I don’t mind anybody coming after me as long as they’re coming with facts,” the activist investor said in an exclusive interview with CNBC’s “Halftime Report.” “He’s a professor, I assume he’s telling his students to do good work. His work was just a bit faulty.”