Two of the least favourite people in the world of high finance are at it again. Yesterday saw the announcement by Frederick’s of Hollywood that the Lingerie maker has accepted a payment of $10 million from a division of Phil Falcone’s publicly traded Harbinger Group Inc (NYSE:HRG) in exchange for running the company. It’s expected that should they exercise that option, Harbinger Group Inc (NYSE:HRG)’s Five Island Asset Management would appoint a majority of the board....
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SEC investigating the CEO for securities fraud. Oddly, the company has 19 employees but a billion dollar market cap. No investor would buy this stock right? Well…. If you had bought in June 2012 when the SEC announced the investigation you would be up over 80% today. The company is quite profitable and has a PE of 5! The company is Harbinger Group Inc (NYSE:HRG) and it was recommended by value investor, Chris Mittleman in Summer...
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A group of banks and financial institutions have reiterated their desire to go after Phil Falcone and his company, Harbinger Partners Capital, for a pre-bankruptcy loan they extended to broadband company, LightSquared Inc. The lenders alleged in court papers that Falcone and Harbinger, who indirectly owes more than 90% of the outstanding common stock of LightSquared, misused its control of the broadband company. The lenders, composed of Appaloosa Management L.P., Capital Research and Management...
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The lenders of LightSquared are asking the court to grant them the right to file a lawsuit against Falcone and his hedge fund, Harbinger Capital, in connection with a loan made to the wireless satellite company, according to report from DowJones. The legal counsel of the lenders argued that his clients were owed more than $1.1 billion dollars, and they deserved the right to file a complaint against Falcone and Harbinger Capital. According to...
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Philip Falcone’s Harbinger Group Inc (NYSE:HRG) has partnered with Energy producer Exco Resources Inc (NYSE:XCO) in a deal worth $725 million with a mission to own and operate Exco’s conventional oil and gas fields. The deal will see Exco pay Harbinger $597.5 million in cash, plus a stake in the partnership, which is believed to be 75% according to a statement noted by Business Week. The partnership is also expected to include debt financing....
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On Friday, a U.S. House panel reviewed whether the Federal Communications Commission (FCC) had followed its own set of rules with its 2011 approval for hedge fund billionaire Phil Falcone’s LightSquared wireless network. The predominantly Republican lawmakers from the House and Energy Commerce Committee’s subcommittee asked agency officials on Friday why they had quickly crushed LightSquared’s plans to launch a wholesale LTE network. The FCC defended its decision to grant LightSquared a conditional waiver to...
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Lisa Marie Falcone, the wife of Harbinger hedge fund founder, Phil Falcone, has helped him land in the headlines once again. This time, it’s not for accusations of fraud, but because she allegedly crashed her car while impaired and under the influence of prescription drugs. Lisa Falcone was charged with driving while impared, following an accident in her vehicle on Saturday. Her case has been adjourned until October 3rd, so that the results of a blood...
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Taking aim at a group of lenders who have raised ‘red flags’ about alleged insider loans received by Chapter 11 cases and wireless company LightSquareD , Harbinger Capital Partners, owned by Phil Falcone, has said the red flags are, in fact, red herrings. Harbinger claims that the lender group is attempting to gain an upper hand in the bankruptcy proceedings, and its restructuring by adopting dilatory tactics that would extend LightSquareD’s losses and bleed...
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One of our favorite hedge fund managers, Philip Falcone, is in the news again with a new venture. This time he’s trying his hand with a special-purpose acquisition company (SPAC) and last week, we were all over the story. We found it pretty interesting that Falcone is opening a new company while he’s under investigation by The Securities and Exchange Commission. He has denied any wrongdoing and has vowed to “vigorously” fight the charges...
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Embattled hedge fund manager and billionaire Phil Falcone seems unconcerned by the ongoing lawsuit filed by the Securities and Exchange Commission regarding allegations the he committed fraud putting the interests of investors in a disadvantage position. According to a Forbes report, Falcone is reading a new publicly traded company. According to the report, the new company will be called Harbinger Global Corp. and it will receive $350 million funding from Harbinger Capital. Falcone plans...
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While failing to pay his taxes, hedge fund billionaire Phil Falcone was still able to travel in style on his private jet. In a Thursday Bloomberg story by Katherine Burton, Saijel Kishan and Joshua Gallu, it recounts the early billionaire lifestyle for Falcone with his $49 million Manhattan mansion, private jet, bodyguards and funding a new film producing career for his wife, Lisa. Meanwhile, Falcone also owed personal taxes estimated at $113 million but didn’t...
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