Whitebox Advisors Cuts Its Stake In Dune Energy Inc (DUNR)

Andy Redleaf has decided to limit exposure to Dune Energy Inc (OTCMKTS:DUNR) after he initiated a position earlier this year. His fund, Whitebox Advisors, has disclosed in a recent filing with the Securities and Exchange Commission a reduction of its stake to 3.67 million shares, which represent approximately 5.09% of the company’s common stock. Before the reduction, the fund held 3.74 million shares.

Whitebox Advisors is the only hedge fund we track that holds a position in Dune Energy Inc (OTCMKTS:DUNR). The company has a market cap of $70.7 million and does not pay a dividend. The stock has been trending sideways since the start of 2013 and has been trading around the $1 level. So far this year, the stock has fallen 13% to a current price of $0.98 per share. Dune Energy announced revenues of $11.0 million, but a net loss of $13.3 million for the 2013 fourth quarter.

In another recent move, Redleaf closed his fund’s stake in Cash America International Inc (NYSE:CSH), a provider of financial services. 1.62 million shares were disposed of by Whitebox, a position that accounted for 5.5% of the company’s common stock. Redleaf is also a fan of General Motors Company (NYSE:GM), having increased his fund’s holding of the stock by 6% to 5.2 million shares, valued at $162 million during the fourth quarter of 2013. Warren Buffett and David Einhorn also like this stock and hold considerable positions. During the same period, Whitebox has registered a massive addition to its stake in American Capital Agency Corp. (NASDAQ:AGNC), taking it to 2.35 million shares worth approximately $45.5 million. George Soros is also very bullish on this stock, having increased his funds investment by 3693% during the Q4 of 2013.

Disclosure: none.

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