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Bill Ackman is starting a fund for regular investors
"He also named some investors he said planned to participate in the IPO and some he said weren’t. Such details typically are closely guarded and Ackman wrote the letter assuming it would remain private."
Assumed or more like the way he would like rules to be applied to him. Another person with high sense of entitlement and grievances. I was sympathetic to his plight during Herblife (short) and Valeant Pharmaceuticals (long) when others were piling on him. But he turned out to be the Boy Who Cried Wolf.
No filing yet to withdraw the IPO. But it must be coming as that has been leaked to the press.
The last filing is dated 7/30/24 that indicated a sharply reduced IPO size.
What probably killed the deal was the filing dated 7/25/24. It turns out that Bill Ackman sent a private letter to its PSHZF/PSH holders about how the 2 funds were different, and his strategies for the launch of PSUS. It also named people and firms that had made preliminary commitments to become investors in PSUS. How on earth Bill Ackman could think that this was OK? When his lawyers forced him to file that letter on Edgar/SEC (7/25/24), its days were numbered. The investors who had indicated interest were furious and some just withdrew their indicated interests. https://www.sec.gov/Archives/edgar/data/2002660/000119312524184256/d813540dfwp.htm
It's also reported in the news that Bill Ackman may come back with some variation of the IPO. My guess is that it could be an interval-fund.
An interval fund could work for institutional investors.
He could have started with a 5-year term CEF with an opportunity to extend the term with shareholder vote, which is a more captive capital than an interval fund.
My advice to him now is "Cool it." Come back next year.
There is now a standard construct for newer term-structure CEFs with the life of 12.0-13.5 years that several CEFs follow. Examples are from Nuveen, Pimco, Thornburg, etc. Variations are also possible but may take longer for SEC approval.
Comments
Assumed or more like the way he would like rules to be applied to him. Another person with high sense of entitlement and grievances. I was sympathetic to his plight during Herblife (short) and Valeant Pharmaceuticals (long) when others were piling on him. But he turned out to be the Boy Who Cried Wolf.
https://www.sec.gov/edgar/browse/?CIK=2002660&owner=exclude
No filing yet to withdraw the IPO. But it must be coming as that has been leaked to the press.
The last filing is dated 7/30/24 that indicated a sharply reduced IPO size.
What probably killed the deal was the filing dated 7/25/24. It turns out that Bill Ackman sent a private letter to its PSHZF/PSH holders about how the 2 funds were different, and his strategies for the launch of PSUS. It also named people and firms that had made preliminary commitments to become investors in PSUS. How on earth Bill Ackman could think that this was OK? When his lawyers forced him to file that letter on Edgar/SEC (7/25/24), its days were numbered. The investors who had indicated interest were furious and some just withdrew their indicated interests.
https://www.sec.gov/Archives/edgar/data/2002660/000119312524184256/d813540dfwp.htm
It's also reported in the news that Bill Ackman may come back with some variation of the IPO. My guess is that it could be an interval-fund.
He could have started with a 5-year term CEF with an opportunity to extend the term with shareholder vote, which is a more captive capital than an interval fund.
My advice to him now is "Cool it." Come back next year.
iswas starting a fundforto fleece regular investors. Might start over; or not.https://www.sec.gov/Archives/edgar/data/2002660/000119312524190510/d623781drw.htm
https://www.bloomberg.com/news/articles/2024-08-02/ackman-s-pershing-lost-4-7-in-july-erasing-most-of-2024-gains