Regulatory filings indicate that Greenlight Capital, which is headed up by David Einhorn, has increased its position in Cairn Energy PLC to 3 percent. It’s believed that the firm has held at least some position in the energy giant for quite some time. The hedge fund pushed its position up to 3.06 percent about a year ago but then let it fall back down below the 3 percent mark, which is the size of the stake that’s required to be reported.
The early 2012 investment into the company appears to have been done after the company returned $3.5 billion to shareholders in the wake of the sale of a stake in Cairn India to Vedanta Resources plc (LON:VED) (FRA:VR9). Not long after the return, shares of the company fell, and that’s when Einhorn seems to have made his move.
In a rare interview with Harvard Business School that was published online earlier this month, (it has since been taken down) value investor Seth Klarman spoke at length about his investment process, philosophy and the changes value investors have had to overcome during the past decade. Klarman’s hedge fund, the Boston-based Baupost has one of Read More
The largest shareholder of Cairn Energy PLC (LON:CNE) (PINK:CRNCY) is MFS Investment Management, which holds a 9.66 percent stake in the company. Other U.S. investors who hold more than a 3 percent stake in the company are Scopia Capital and Acadian Asset Management.
A spokesperson told the publication that U.S. investors have received Cairn Energy PLC (LON:CNE) (PINK:CRNCY)’s strategy very well. The company’s stock has dropped almost 18 percent over the last 12 months as it began focusing on efforts in Greenland to find fuel.
David Einhorn has been in the news quite a bit recently, most recently for dropping hints that he has shorted a major Canadian retailer and before that, his public debate with Apple Inc. (NASDAQ:AAPL) over its cash hoard and again.
H/T City A.M