Friday, February 24, 2012

Lampert Gains $160 Million on Sears Shares

Edward Lampert, the hedge fund manager who controls Sears Holdings Corp. (SHLD), has more than $160 million in paper profits on shares of the retailer acquired last month from a long-standing client, the Ziff family, according to Bloomberg’s best.
The billionaire paid $130 million in early January to personally acquire Sears shares from ESL Investors LLC, a partnership he runs for the Ziffs that follows the same strategy as his hedge fund, according to court documents and regulatory filings. The retailer’s stock has more than doubled since then, rebounding from a three-year low and ranking as the best- performing member of the benchmark Standard & Poor’s 500 Index.

The Ziffs, heirs to a publishing fortune who backed hedge fund managers Jim Chanos and Bill Ackman early in their careers, provided Lampert with some of the capital he used to buy and then merge Kmart Corp. with Sears, Roebuck & Co. to create Sears Holdings. Lampert revamped his investment partnership with the Ziffs and bought back some of their Sears stock after the retailer faltered in 2011, regulatory filings show….

Find out more at http://www.bloomberg.com/news/2012-02-24/lampert-gains-160-million-buying-sears-shares-from-ziffs.html

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