|
Icahn had a 15.5% stake in Herbalife as of Sept. 30. The latest
deal is expected to close by Jan. 7, after which Icahn
Enterprises will hold about 8 million of Herbalife's shares,
representing a stake of about 6%, the statement added.
The Wall Street Journal reported on Sunday that in recent days
Icahn had sold about 10% of his stake back to the multi-level
marketing company, whose products include dietary supplements.
Icahn's remaining stake is worth about $400 million, according
to WSJ https://on.wsj.com/3b4a4UR.
Icahn began buying Herbalife shares in 2013 while extolling the
company and had since been its largest shareholder.
In 2013, Herbalife and Icahn Enterprises entered into a support
agreement that allowed Icahn Enterprises to have five board
seats for as long as it held at least 14 million Herbalife
shares.
With Icahn's stake now falling below the threshold of 14 million
shares, the support agreement has been terminated and the
activist investor's board representatives have stepped down,
Herbalife said on Sunday..
Icahn said that the time for activism at Herbalife "has passed".
"At the time (when he started investing in Herbalife), I
believed the company was in need of an activist and that
certainly turned out to be correct", Icahn said on Sunday.
"The time for activism has passed as the company has grown, and
I don't typically invest billions of dollars in companies where
our role as activist is not needed," he added.
(Reporting by Kanishka Singh in Bengaluru; Editing by Himani
Sarkar, Christopher Cushing and Gerry Doyle)
[© 2021 Thomson Reuters. All rights
reserved.] Copyright 2021 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|
