In a just filed SEC document, Sears Holdings (SHLD) Chairman Eddie Lampert, through his RBS Partners hedge fund has purchased another 386,000 share in two transactions of AutoNation (AN).
Lampert is picking up shares in bug chunks now vs the smaller transactions previously announced.
He is racing towards 50% ownership while the stock is depressed.
Disclosure (“none” means no position):Long AN, SHLD
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2 replies on “Lampert Buys More AutoNation Shares”
Todd,
At first glance, this might sound like a stupid question, but why is Lampert continuing to build such a substantial stake in AN? Should his stake be viewed as just another equity investment for RBS, or do you believe Lampert has a greater plan for taking such a large stake? What is the importance of a 50% ownership (obviously a voting majority, but why is a majority in AN important to Lampert)? What are the potential benefits for SHLD, AN, and individual investors in both?
Long story short – even concentrated value investors rarely build up stakes this big – what gives?
Thanks,
Chris
never stupid…..
lampert regularly takes large stakes, AZo,an,shld, kmart. It is more rare when he does not.
i think there is a greater plan with azo, an and sears auto.
what, i do not know but between the three you have a retailer, parts supplier and repair…the whole spectrum is covered
i think an will explode in the next couple years. they are a class organization
hmmm