Don’t forget – sign up for our free daily newsletter to stay in the activist investing know.
Now owning 12.49%, Accretive Capital [link to Accretive’s letter to MCG Capital earlier this year] has upped its stake in Nutrastar International for the first time in a year. The fund has been active since Dec. 2012.
Accretive’s invovlement started with a purchase of Series A Preferred Stock in Nutrastar from ARC China in a private transaction.
Nutrastar is a small, $10 milion market cap, grower and producer of Cordyceps Militaris, or Chinese Golden Grass in China. The stock is down 19% over the last three months and down 44% in three years.
Top value fund managers are ready for the small cap bear market to be done
During the bull market, small caps haven't been performing well, but some believe that could be about to change. Breach Inlet Founder and Portfolio Manager Chris Colvin and Gradient Investments President Michael Binger both expect small caps to take off. Q1 2020 hedge fund letters, conferences and more However, not everyone is convinced. BTIG strategist Read More
The latest is that Accretive will continue to have discussions with the company about prospective acquirers, as well as strategic plans, strategy, assets, business, financial condition, operations, and capital structure.
Yet, it operates in a tough business and in an tough economy. You’re really going to need Accretive to do the legwork to get the story told about Nutrastar. Cheap valuation or not, it’s a tough sell.