Taking a break from donating to political interests to hasten the downfall of Herbalife Ltd. (NYSE:HLF) and benefit his short position in the stock, activist hedge fund manager Bill Ackman announced a $17 million donation to Harvard University last week.
This time Ackman was donating to a panel of innovative scientists, providing grants to an age group and type of science that is often ignored by the National Institute of Health, according to Moses Chao, coordinator of the molecular neurobiology program at the NYU Langone Medical Center, who was quoted in a Bloomberg report that showered praise on Ackman’s philanthropic endeavors.
New York based medical researchers with bold ideas spotlighted
Among other charitable activities, Ackman’s grant will benefit 12 New York-based researchers, each of whom will receive $200,000 per year for up to three years. At last week’s event, an event panel chose 12 finalists for the first “Pershing Square Sohn Prize for Young Investigators.” The winners will be announced May 5 at the Sohn Investment Conference in New York City.
“We’re are looking for the most innovative projects with the best applicants,” Olivia Flatto, executive director of the Pershing Square Sohn Cancer Research Alliance, said in the report. Flatto was the primary architect behind the award and determined its focus on young New York-based researchers with “bold ideas.” It is unclear if researchers outside New York with “bold ideas” are excluded from the process.
Whitney Tilson supporting Ackman charity as well as business objectives
Among the well-known hedge fund players at the event included Whitney Tilson of T2 Partners Management, who has made interesting statements on Herbalife Ltd. (NYSE:HLF), a target of Ackman’s professional passion.
On Herbalife Ltd. (NYSE:HLF), Tilson took Ackman’s position, saying: “I’ve long believed that both companies’ business models are fundamentally rooted in exploiting and victimizing the vast majority of their customers, but they were tough shorts because ripping your customers’ eyeballs out is highly profitable, so the companies kept reporting wonderful growth, margins, share repurchases, etc. – and there seemed to be no end in sight because both companies had been engaging in this behavior for decades (literally) yet regulators hadn’t done anything.”