Featured

Carl Icahn Comes Under Fire!



Published
Head to https://brilliant.org/patrick/ to start your free 30-day trial, and the first 200 people get 20% off an annual premium subscription.

Legendary corporate raider and activist Carl Icahn found himself on the wrong side of a familiar battle this week when the short selling investment firm Hindenburg Research took aim at Icahn’s publicly traded holding company, alleging in a new report that Icahn Enterprises L.P. (IEP) is overstating the value of its private asset portfolio, and that its publicly traded stock units–85% of which Icahn owns–are “significantly overvalued.”

Icahn’s fortune fell over 35%, from $18.3 billion on Monday afternoon to $12 billion as of Tuesday’s market close. Icahn Enterprises units tumbled 20% on Tuesday, shaving $3 billion in market value off Icahn’s fortune. Forbes then trimmed Icahn’s estimated net worth by another $3.6 billion, after it was revealed that Icahn had pledged over half of his IEP shares as collateral against unknown personal debts.

Hindenburg is a short selling activist hedge fund run by Nate Anderson who is most famous for having released a video of Nikola’s electric truck prototype being towed up a hill in order to be pushed down to make a promotional video showing that the technology was fully operational. He claims that Icahn Enterprises has a Ponzi-like economic structure.

Patrick's Books:
Statistics For The Trading Floor: https://amzn.to/3eerLA0
Derivatives For The Trading Floor: https://amzn.to/3cjsyPF
Corporate Finance: https://amzn.to/3fn3rvC

Patreon Page: https://www.patreon.com/PatrickBoyleOnFinance

Visit our website: www.onfinance.org
Follow Patrick on Twitter Here: https://twitter.com/PatrickEBoyle

Patrick Boyle On Finance Podcast:
Spotify: https://open.spotify.com/show/7uhrWlDvxzy9hLoW0EYf0b
Apple: https://podcasts.apple.com/us/podcast/patrick-boyle-on-finance/id1547740313
Google Podcasts: https://tinyurl.com/62862nve

Join this channel to support making this content:
https://www.youtube.com/channel/UCASM0cgfkJxQ1ICmRilfHLw/join
Category
Management
Be the first to comment