Nelson Peltz Revives "Highly Contingent Letter" Acquisition Gimmick With Family Dollar

Tyler Durden's picture

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Hedgetard55's picture

I heard Hamy and Harry were buying hand over fist!

Canaduh's picture

Ahaha the first time I watched CNBC in weeks, and I see that slimeball on Fast Money recommending FDO. Praise Jebus.

ZeroPower's picture

Yes, quite interesting indeed, except i dont see him cashing out his whole 10mm position with 1 simple stroke of the sell button - ADV is about 2.5MM shares, so asking for 4x regular volume on your single position...you'd get killed. 

Sutton's picture

Nelson Peltz=Shyster

ghostfaceinvestah's picture

sorry, off topic, but in case no one has linked this yet - Zimbabwe, here we come, thanks Benocide.

http://finance.yahoo.com/news/Companies-Raise-Prices-as-nytimes-40517303...

 

A package of Oscar Mayer cold cuts. A pair of Nine West boots. A Whirlpool washing machine.

By the fall, people will most likely be paying more for each of them, as rising prices hit most consumer goods, say retailers, food companies and manufacturers of consumer products.

Cotton prices are near their highest level in more than a decade, after adjusting for inflation, and leather and polyester costs are jumping as well. Copper recently hit its highest level in about 40 years, and iron ore, used for steel, is fetching extremely high prices. Prices for corn, sugar, wheat, beef, pork and coffee are soaring. Labor overseas is becoming more expensive, meanwhile, and so are the utility bills to keep a factory running.

“There are cost pressures from virtually everywhere,” said Wesley R. Card, the chief executive of the Jones Group, whose brands include Nine West and Anne Klein. After trying to keep retail prices flat or even lower during the recession, Jones says prices for its brands will climb 15 to 20 percent by autumn.

Seasmoke's picture

if i had the bankroll, i always thought this was the best way to play

topcallingtroll's picture

This kinda stuff, plus good articles on foreblindness, hedging, chinese fraud ipo, will hopefully get zero hedge to the point you could make a living doing this TD. Going on populist rants and conspiracy theorizing may diminish your respectability and keeps you fringy, especially if your long term macro calls.dont.come true. But you.could be the financial policeman we.dont have, an educator, and even a moralizer, plus many love the inside the game gossip and arcane news of a speculator/investor oriented blog. Cnbc clearly checks in on you, but if you are still.fighting the last war long after it is over then it would be hard to recover.

Tyler Durden's picture

Two years ago, HFT was a conspiracy.

One and a half years ago, the Fed propping up the stock market was a conspiracy.

One year ago, prop trading commingled with flow was a conspiracy.

Half a year ago, the JPM manipulation of the silver market was a conspiracy.

If we, and anyone else in the media, listened to people like you, there would never be any progress in the realm of journalism, and uncovering that behind most conspiracies, there is actually concrete truth.

We appreciate your editorial suggestions. However, next time please forward them to the New York Times, or any other cash flow negative legacy media, which will agree with your advice wholeheartedly just as it retains its restructuring advisor.

Westley Gray's picture

Having a hard time deciding if you're completely clueless or simply not funny or interesting. 

Johnny Lawrence's picture

I actually own FDO.  I bought it in May 09 for how it fit into the macro theme of a more frugal consumer. 

So basically, the point is that anyone can say they're interesting in buying a company, watch the stock ramp up on the rumor, and then sell it?

topcallingtroll's picture

Hmmm.  I guess I am wrong.  You had more hits when you put zimbabwe in the title.  The only thing I mention as conspiracy theory is that the market can be played like a fiddle by the banks and that third world starvation is a product of the fed rather than failure of the third world central banks to conduct independent monetary policy.  You have been right on the nose about HFT, but it appears to be frontrunning which is still illegal.  I shall forthwith never "concern troll" again. 

But banging on the genocide Ben drum is a little farfetched.  Even TD realizes that the United States has a right to conduct monetary policy that it deems appropriate for itself (even if one thinks the policy is wrong). 

You just seem too sophisticated to really believe that high food prices in the third world is really the fault of Ben rather than all the other factors out there including a secular increase in demand, speculation, fear and hoarding, thin reserves, and a failure of third world countries to conduct independent monetary policy (as well as tariffs on food?  How crazy is that?)

 That is the issue I meant when I said you may start sounding fringy.  But I still have a mancrush on you and love the other articles.

Population Bubble's picture

We certainly do have a right to conduct our monetary policy.  We have our seats in the lifeboat.  But the boat is full; we can not help those in the water.

Unfortunately this could still be considered genocide.  But what are you to do?  Don't you have to protect your own?

Bitter Bob's picture

Two years ago the S&P down to 300 seemed an interesting possibility.

Today it seems pretty stupid.

anonnn's picture

What did you expect?

Composing an announcement in order to move a stock, up or down, is ordinary, garden variety, everyday insider activity to make profit without risk.

The creator of such information becomes, by definition, an insider. He knows what effect his story will cause, precisely because he created story to cause the effect.

Why take risk to make money, when being an insider carries no risk?

Working definition: an insider is s/o who knows something before others know it and can act to profit in that time lag.

So if you  create the something, you make yourself an insider. Why screw around with risk or gambling?

Without effective system of fairness or justice, clever schemes are a hoot, and anti-social ones are the winningest.  Banking, for example..