Mohnish Pabrai Buys Fiat Chrysler, Google; Adds WL Ross Holding

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Mohnish Pabrai’s Dalal Street reported that its equity portfolio has a market value of approximately $552.4 million based on its 13F filing with the Securities and Exchange Commission (SEC) for the fourth quarter of 2014.


Pabrai’s new stockholdings

During the quarter, Pabrai acquired a position in Fiat Chrysler Automobiles and Google.

His firm purchased 13,908,569 shares of Fiat Chrysler Automobiles worth more than $161 million. The stock is the largest stockholding of Dalal Street, which accounts 29.16% of its portfolio.

The shares of Fiat Chrysler Automobiles closed $14.47 per share, up by 5% on Thursday. Since its initial public offering (IPO) on October 13 last year, the stock traded from $8.54 to $14.55 per share. The company gained more than 62% since its debut.

On the other hand, Pabrai purchased 69,000 shares of Google worth around $36.32 million. The stock is the sixth largest stockholding of his firm.

The shares of Google climbed 1.49% to $546 per share on Thursday. The search engine giant is reportedly testing a new payment method to compete with Apple Pay, the mobile payment platform of Apple.

The Information reported that Google’s new mobile–payment system for retailers is called Plaso (pronounced play-so), which is being tested at the stores of Papa John’s and Panera Bread.

Separately, a study from Glasgow suggested that Google’s search data may predict upcoming election results. Ron MacDonald, a prefoessor at Glasgow reported that they were able to predict the increase of “yes” votes using several complex methods regularly established by financial markets. According to him, political strategist could use the methodology to predict election results.

Pabrai’s increased  and reduced positions

Pabrai increased his positions WL Ross Holding common stock and warrants during the quarter.

He acquired additional 438,827 shares of the company’s common stock, bringing its total stockholdings to 453,538 shares worth around $5.26 million.

Pabrai increased his position in WL Ross Holding’s warrants by 204,526 units to 245,670 units worth approximately $2.52 million.

WL Ross Holding is a newly special purpose acquisition company controlled by billionaire investor Wilbur Ross. The company completed its initial public offering (IPO) of $500 million worth of its common stock on June last year.

During the quarter, Pabrai reduced his stake in Bank of America by 1,358,000 shares to 3,146,000 shares. His position in the bank is worth approximately $56.28 million.

Pabrai also sold 630,864 shares of Posco to 301,770 shares. His stake in the company is worth approximately $19.26 million. He also cut his stake in Citigroup by 151,000 shares to 1,269,000 shares. His stockholding in the bank has a market value of $68.66 million.

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