Kahn Brothers Buys BlackBerry, Straight Path; Increases Stake in BP

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The portfolio of Kahn Brothers Group, the investment management firm headed by Irving and Thomas Kahn, showed that its assets under management (AUM) has a market value of $637,513,190 based on its 13F filing for the third quarter that ended September 30.  Its AUM increased from $590,137,249 in the previous quarter.

Kahn Brothers Buys BlackBerry, Straight Path; Increases Stake in BP

Based on its portfolio, the largest stockholdings of the investment management firm include Pfizer Inc. (NYSE:PFE), which accounts 10.48% followed by The New York Times Company (NYSE:NYT) at 9.95%, Citigroup Inc (NYSE:C) at 9.7%, New York Community Bancorp, Inc. (NYSE:NYCB) at 9.12%, and Merck & Co., Inc. (NYSE:MRK) at 8.51%.

The pharmaceutical company delivered strong financial results during the quarter despite challenging operating environment losses of exclusivity, and the ongoing expirations of its Spiriva collaboration with certain countries, according to CEO Ian Read.

Pfizer Inc. (NYSE:PFE) is one of the leading pharmaceutical companies worldwide. During the third quarter, the company reported $0.39 diluted earnings per share on $12.6 billion revenue. It also repurchased its common stock worth $3.8 billion.

Kahn Brothers’ new positions

During the period, Kahn Brothers Group acquired 390,000 shares of BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) worth $3,100,500 and 335,713 shares of Straight Path Communications Inc (NYSEMKT:STRP) worth $1,765,850.

The shares of BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) were trading at around $6.66 a share on Wednesday. The stock plummeted significantly last Monday after the company abandoned its plan to privatize itself and decided to raise $1 billion to continue its turnaround efforts under its new CEO John Chen.

The embattled Canadian smartphone manufacturer made its decision after the $4.7 billion takeover bid of Prem Watsa’s Fairfax Financial Holdings Ltd (TSE:FFH) failed.  Watsa explained that a leveraged buyout is inappropriate because it will burden the company with debt.

On the other hand, the stock value of Straight Path Communications Inc (NYSEMKT:STRP) climbed by 5.07% to $5.80 per share. Last Tuesday, the company’s subsidiary filed a patent infringement case against Vonage Holdings Corp. (NYSE:VG).

Kahn Brothers’ added positions

Kahn Brothers Group increased its stockholdings in BP plc (NYSE:BP) (LON:BP) by 412,755 shares, Citigroup Inc (NYSE:C) by 14,770 shares, MBIA Inc. (NYSE:MBI) by 17,430 shares, New York Community Bancorp, Inc. (NYSE:NYCB) by 141,049 shares, and The New York Times Company (NYSE:NYT) by 54.050 shares.

The investment management firm also bought more shares in Hologic, Inc. (NASDAQ:HOLX), Merck & Co., Inc. (NYSE:MRK), Old Republic International Corporation (NYSE:ORI), and Patterson-UTI Energy, Inc. (NASDAQ:PTEN).

Kahn Brothers’ reduced positions

Kahn Brothers reduced its stake across 13 companies including Flushing Financial Corporation (NASDAQ:FFIC) by 52,623 shares, Pfizer Inc. (NYSE:PFE) by 33,620 shares, Bristol-Myers Squibb Co (NYSE:BMY) by 27,133 shares, and First Niagara Financial Group Inc. (NASDAQ:FNFG) by 18,250 shares, among others.

Kahn Brothers’ sold out positions

The investment management firm sold its entire stake in Ambac Financial Group, Inc. (OTCMKTS:ABKFQ), CFS Bancorp, Inc. (NASDAQ:CITZ), Dime Community Bancshares, Inc. (NASDAQ:DCOM), TCF Financial Corporation (NYSE:TCB), and Travelers Companies Inc (NYSE:TRV).

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