Tag Archives: SYF

Mohnish Pabrai’s Spinoff Portfolio Starts Off With A Bang – CSRA Acquired

A few weeks ago we highlighted Mohnish Pabrai’s S&P crushing Spinoff Portfolio. While the historical results were merely backtested, 2018 has gotten off to a tremendous start. Despite a big decline at Adient (ADNT), the fund was boosted by General Dynamic’s (GD) ~$9.6b (including debt) takeover of government IT services provider CSRA (CSRA). The deal is actually an all cash… Read More »

Spinoff Odds & Ends: The Time Is DNOW, Redux and More

Hedge funds get rich using OPM (other people’s money) so why not use OPW (other people’s work) to generate some ideas? Might be helpful if volatility is back… Clark Street Value takes a look at two upcoming real estate related spinoffs. The first is Spirit Realty Capital’s (SRC) upcoming ‘bad asset’ portfolio spinoff. It will consist of properties… Read More »

Mohnish Pabrai’s Spinoff Portfolio Crushes The S&P

It’s a new year (relatively speaking at this point) and some readers are likely evaluating their investment strategies for 2018. If you can stomach a healthy dose of volatility then Mohnish Pabrai has just the thing for you – a concentrated portfolio of spinoffs! For those wondering, Mr. Pabrai founded both the Dhando Fund and Pabrai Investment Funds… Read More »

Hit, Stand, Double Down Or Split- How Will Alliance Data(ADS) Play Its Cards Following Board Seat For ValueAct?

In the nine years after since a scuttled $6.4 billion acquisition by private equity firm Blackstone, Alliance Data Systems(ADS) has done well, with a current market capitalization of $13.5 billion. The company has attracted the interest of ValueAct Capital which has acquired a 10.5% stake.  In an amended 13D filed with the SEC on Monday, ValueAct disclosed that… Read More »

GE’s Synchrony Exchange Offer Complete, Oversubscribed By 3.2 Times

General Electric(GE) announced the results of its exchange offer for Synchrony Financial(SYF) common stock this morning. The exchange, which ended last night at midnight, was oversubscribed by 3.2 times, with “2,149,128,195 shares of GE common stock were validly tendered and not validly withdrawn.”  The company will “accept 671,366,809 of the tendered shares in exchange for the 705,270,833 shares… Read More »

GE Sets Ratio For Synchrony Exchange Offer At 1.0505, Deadline To Elect Is Monday Night, November 16

Last night, GE(GE) set the final ratio for its exchange offer at 1.0505 shares of Synchrony(SYF) common stock for each share of GE tendered. At GE’s closing price on Thursday of $30.16 and Synchrony’s close of $30.79, this represents $32.34 worth of Synchrony stock, or a premium of 7.2%.  GE shareholders have until midnight, Monday night, November 16… Read More »

Willaim Blair’s Nick Heymann Thinks GE Shareholders Should Pass On Synchrony Financial Exchange Offer

The question of whether to exchange their GE(GE) stock to receive Synchrony Financial(SYF) at a 7% discount is a question weighing heavily on the minds of many GE shareholders.  One investor decided to Ask Matt what to do. Who is Matt? Apparently, Matt is “USA TODAY markets reporter Matt Krantz [who] answers a different reader question every weekday.”… Read More »

With Key Fed Approval In Hand, GE’s Synchrony Split-Off Will Be Completed Next Month

The Federal Reserve formally approved Synchrony Financial’s (SYF) application to become a publicly traded savings & loan holding company. The approval is a key regulatory milestone for the company and its completion will pave the way for GE (GE) to finish separating the business via exchange offer. As its recent earnings report highlighted, GE has shifted its focus… Read More »