Kyle Bass Slashes Portfolio to Short the Yuan

Mr. Bass also discarded his stake in Allergan plc (NYSE:AGN), which comprised 17,813 shares valued at $4.84 million on September 30. As with Cf Industries, the investor’s Allergan stake was acquired during the third quarter of 2015. While numerous billionaire investors were bullish on the Botox-maker during the fourth quarter, Mr. Bass and his team might have decided that shorting the Yuan would be a more profitable bet. Data compiled by Insider Monkey shows that the number of billionaires invested in Allergan increased to 29 from 26 during the December quarter. Let us remind you that Allergan plc (NYSE:AGN) and Pfizer Inc. (NYSE:PFE) sealed a merger agreement in November 2015, under which the two entities will combine to create the largest drugmaker in the world. It should be mentioned that Allergan shares are trading at a huge discount to the actual value of the merger, which ascribes Allergan’s stock a value of roughly $334 per share. Some investors and analysts see exceptional revenue potential following the multi-billion-dollar merger. Billionaire John Paulson of Paulson & Co. owns 5.53 million shares of Allergan plc (NYSE:AGN) as of the end of 2015.

The successful contrarian investor got rid of his 606,618-share stake in Impax Laboratories Inc. (NASDAQ:IPXL) during the final three months of 2015. The stake was also acquired during the third quarter, and was valued at $21.36 million on September 30. On Monday morning, the specialty pharmaceutical company released its financial results for the fourth quarter and 2015 year. The company reported total revenue of $860.5 million for the year, an increase of 44% year-over-year. Similarly, its annual adjusted earnings per share increased by 10% year-over-year to $1.45. Impax Laboratories Inc. (NASDAQ:IPXL)’s shares are down by 17% over the past 12 months, after having plummeted by 20% since the beginning of the year. Meanwhile, the stock appears to be trading at a reasonable forward P/E multiple of 14.99, which is slightly below the average for the S&P 500 Index. Yen Liow’s Aravt Global added a 3.07 million-share position in Impax Laboratories Inc. (NASDAQ:IPXL) to its portfolio during the fourth quarter of 2015.

Disclosure: None