Sardar Biglari of Biglari Holdings has done it.
All this comes after the small fund Groveland Capital took a 0.17% stake and waged a proxy fight over its governance. With a tender offer, Sardar has eliminated any risk of a proxy battle next year, now controlling close to half of the Biglari shares.
His hedge fund style running of Biglari Holdings will continue, including the licensing of his own name for 20 years for Biglari and Steak n Shake.
Khrom Capital was up 32.5% gross and 24.5% net for the first quarter, outperforming the Russell 2000's 21.2% gain and the S&P 500's 6.2% increase. The fund has an annualized return of 21.6% gross and 16.5% net since inception. The total gross return since inception is 1,194%. Q1 2021 hedge fund letters, conferences and more Read More
All this comes as Sardar owns less than 2% of Biglari Holdings himself.
The few independent board members offers no insight or opinion on the tender offer and Sardar’s control taking, saying, “based on the potential for a conflict of interest resulting from the company’s ownership of limited partnership interests in the purchaser, the independent directors unanimously voted to recommend that the board express no opinion and remain neutral with respect to the offer.”