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Herbalife Soars As Icahn Goes Medieval On Ackman, Reports 12.98% Stake In The Company

Tyler Durden's picture





 

Remember when Bill Ackman told Icahn on CNBC he should tender for the company (to a less than favorable reply)? Well, Icahn may have done just that: moments ago the belligerent billionaire just reported a 12.98% stake in Herbalife, adding that he intends "to have discussions with management of the Issuer regarding the business and strategic alternatives to enhance shareholder value, such as a recapitalization or a going-private transaction." Needless to say, the stock soars, and it remains to be seen if the epic short squeeze that we predicted, and that Icahn confirmed on TV could happen if there is not enough float to satisfy all the shorts, will be next. Volkswagen anyone?

From the 13D just filed.

The Reporting Persons may be deemed to be the beneficial owner of, in the aggregate, 14,015,151   Shares (including Shares underlying call options). The aggregate purchase price of the Shares and call options purchased by the Reporting Persons collectively was approximately $214.1 million (including commissions and premiums). The source of funding for these Shares and call options was the general working capital of the respective purchasers. The Shares and call options are held by the Reporting Persons in margin accounts together with other securities. Such margin accounts may from time to time have debit balances. Part of the purchase price of the Shares and call options was obtained through margin borrowing.

 

The Reporting Persons have conducted significant analysis with respect to the Issuer.  The Reporting Persons have concluded that the Company has a legitimate business model, with favorable long-term opportunities for growth.  The Reporting Persons intend to have discussions with management of the Issuer regarding the business and strategic alternatives to enhance shareholder value, such as a recapitalization or a going-private transaction.

 

The Reporting Persons acquired the Shares in the belief that the Shares were undervalued. The  Reporting  Persons may, from time to time and at  any time: (i) acquire additional  Shares  and/or  other  equity,  debt,  notes,  instruments  or other securities  (collectively,  "Securities")  of  the  Issuer (or its affiliates) in the open market or otherwise;  (ii) dispose of any or all of their Securities in the open market or otherwise;  or  (iii) engage in any hedging or similar transactions with respect to  the  Securities.

As a reminder, this is what we said on January 2:

With the price virtually screaming for an epic short squeeze, is management, in consultation with its recently hired financial and legal advisors, contemplating a Volkswagen like short squeeze, where it conceives a transaction whereby there are simply not enough shares in the free float to satisfy the short interest. This could be facilitated especially if the firm's institutional shareholders, chief among them Fidelity with 15% of the shares outstanding, were to pull their borrow (and one wonders just where Fidelity's fiduciary responsibility lies if it allowed Ackman to put on a 20 million share short, at least according to him, a trade that could only be enacted if Fidelity allowed him to borrow its shares to short the stock against Fidelity's long holdings), on top of a leveraged stock buyback or even MBO.

 

In short- could HLF, with 24% of its stock short, and where institutions control more than 76% of the shares outstanding, become the next Volkswagen squeeze play, and send the stock soaring far higher than ever before, in the process destroying Ackman (assuming he has still not covered his short), Tilson, and anyone else still short the name?

Herbalife stock after hours:

HLF's short interest was 32.3% of the float at last check: if only the remaining long institutions decide to pull the borrow, the shorts will have one very big headache:

And here is what HLF shorts have to look forward to if HLF is indeed the next Volkswagen:

 


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Thu, 02/14/2013 - 18:19 | Link to Comment localsavage
localsavage's picture

That is the ultimate in calling someone a fuck face

Thu, 02/14/2013 - 18:39 | Link to Comment redpill
redpill's picture

I hope Ackerman gets squeezed out and then the company implodes so they both lose their ass. Cockfucks.

Thu, 02/14/2013 - 18:48 | Link to Comment flacon
flacon's picture

Stock Market = 5 or 6 players: ICHANN, ACHMANN, BUFFET, JON KERRY, BERNANKE, 401(K). 

 

Who farted on silver today? Yeah it was you BERNANKE/BLYTHE, go fuck yourself! 

Fri, 02/15/2013 - 01:45 | Link to Comment TruthInSunshine
TruthInSunshine's picture

There's zero doubt in my mind these are the most broken, irrational, completely FUBAR'd markets seen in my lifetime, far exceeding the batshit crazy '97-'99 era dot.com bubble or the 2002 to 2007 housing/real estate bubble COMBINED.

I know that the markets are headed for a gigantic, crushing fall, since I know that there's not a central bank "put" that can indefinitely postpone reality, but the icing  on the cake (of seeing the Wall Street Ponzi burn any remaining shreds of faith some Muppets may still yet have in that goried institution) would be to see a real prick like Icahn lose his ass on a bet he made simply because he can't check his dickish ego at the door.

Thu, 02/14/2013 - 18:47 | Link to Comment ZippyBananaPants
ZippyBananaPants's picture

Just in time for the SEC to announce something tomorrow mid-day!  then back to 25

Thu, 02/14/2013 - 18:56 | Link to Comment Cult_of_Reason
Cult_of_Reason's picture

I am going to buy deep out-of-the-money puts tomorrow.

Thu, 02/14/2013 - 19:01 | Link to Comment TuesdayBen
TuesdayBen's picture

So MDB may soon be reporting to Icahn

Thu, 02/14/2013 - 19:24 | Link to Comment Cult_of_Reason
Cult_of_Reason's picture

The FTC is investigating MLMs and HLF.

Most likely Icahn will get his irrational and emotional head handed to him.

Thu, 02/14/2013 - 19:35 | Link to Comment Karlus
Karlus's picture

Maybe, but by the time FTC catches up, it may be over. This also seems to be a bit personal and going all in on Poker. Achman made his play hoping that his trash talking could mortally wound the stock. But the blood in the water attracted some sharks.

If I can see you before you see me fight is over. If you see me first, fight is over too, but I'm whats for dinner instead so slightly different outcome.

Achman ran through the quiet woods wearing bright orange with his hair on fire blowing an airhorn. He seems to be seen first.

"Never confuse making money with doing the right thing." - My first boss on Wall St

Fri, 02/15/2013 - 01:41 | Link to Comment James_Cole
James_Cole's picture

"The FTC is investigating MLMs and HLF.

Most likely Icahn will get his irrational and emotional head handed to him."

No way, one thing that should make you seriously reconsider OTM puts is this simple fact: 76% institutional ownership + epic short squeeze.

Watch Ack's full presentation too, his legal case is flimsy - mostly he relies on comparisons to other MLMs. Sure, HLF is OBVIOUSLY a pyramid scheme to anyone with a brain but that does't mean a whole lot. Seems extremely dangerous to go short HLF right now.

If you wanna go short one of Icahn's positions NFLX seems to make a lot more sense. Icahn has already made his $ on it, his calls exp in the fall, NFLX is in disasterous financial shape yet saw a 100% move up in the past month (most of it over a couple days due to tiny beat). It also looks like their EPS will miss next quarter even if they beat on subscribers too. 

Thu, 02/14/2013 - 19:18 | Link to Comment Marco
Marco's picture

Volkswagen only happened because the affected hedgefunds forgot for a moment they weren't dealing in a market controlled by US regulators ... something similar is not going to happen in the US.

In my opinion for the worse, uncovered shorting might be good for price discovery but the risk of getting cornered is good for keeping the shorts honest (borrowing shares with an absolute obligation to return them is no cover of course).

Thu, 02/14/2013 - 19:15 | Link to Comment Againstthelie
Againstthelie's picture

You obviously have not read the brilliant analysis of Herbalife that Ackman made public.

IMO it is a obvious pyramid scheme with no-name commodity products. The facts are clear.

But on the other hand this doesn't necessarily mean, that the truth with prevail...

Thu, 02/14/2013 - 19:34 | Link to Comment redpill
redpill's picture

Of course it's a pyramid scheme, but you're betting that people won't be stupid, and in this world that's a dangerous wager.

Thu, 02/14/2013 - 19:42 | Link to Comment RockyRacoon
RockyRacoon's picture

...and on that note (which I agree with) I'll go back to the main page and find some REAL news.  Two rich brats throwing turds at each other is not really what will keep me secure tomorrow.  If I'm lucky, things will get worse much faster and we can get on to a real recovery.

Fri, 02/15/2013 - 06:49 | Link to Comment alpha60
alpha60's picture

plenty of pyramid schemes provide yield. infrastructure master partnerships for instance.  

Thu, 02/14/2013 - 20:04 | Link to Comment Anarcho Capitalist
Anarcho Capitalist's picture

"You obviously have not read the brilliant analysis of Herbalife that Ackman made public.

IMO it is a obvious pyramid scheme with no-name commodity products. The facts are clear."

 

Isn't Social Security an obvious pyramid scheme or the entire Federal Government for that matter??..... Sheep are bullish pyramid scheme's

Thu, 02/14/2013 - 22:40 | Link to Comment TruthInSunshine
TruthInSunshine's picture

Social Security is a Pyramid Scheme, but not in the same way that Herbalife "Get People To Sell Worthless Garbage To Family & Friends & Invoke Pity & Guilt If You Have To-- Like Girl Scout Cookies, But For Adults" is.

Thu, 02/14/2013 - 21:43 | Link to Comment Squid Vicious
Squid Vicious's picture

Who died and made Ackman the arbiter of global fairness and ethical business practices? what a self-serving little prick... Icahn is even more disgusting, too bad one of them has to win...

Thu, 02/14/2013 - 19:27 | Link to Comment Mark123
Mark123's picture

that would be nice, but I'll bet both these guys have it structured so that they have no skin in the game.  Lots of posturing, and side bets that skim money from the sheeple.

What a pathetic joke this whole system has become....it's like the whole western world is nothing more that a guy in a cheap, ill-fitting suit trying to convince me to sign up as a rep to sell Tupperware.

 

Where is mother nature when you need a good virulent plague that will leave all the major cities empty so we can start all over.

 

Thu, 02/14/2013 - 19:39 | Link to Comment Karlus
Karlus's picture

Look, I dont know Ackman or really his tactics. You might be suprised if he says one thing and does another.

Would you freak out if he covered weeks ago and is long?

Could he an Carl be playing the Rosie vs Trump game (carefully orchestrated throught underlings) ?

Achman does not strike me as a dumb guy. This maybe a net designed to catch some small fishies between two whales?

Fri, 02/15/2013 - 08:53 | Link to Comment dark pools of soros
dark pools of soros's picture

Just use as much oil as you can.. The sooner we run out, the sooner you get your wish

Thu, 02/14/2013 - 19:55 | Link to Comment rogeliokh
rogeliokh's picture

Speaking about SEC??? Ackerman, what a cockroach? Take short position first and then start calling names and shots? This "innocent" Jew should get 10 years to think about it behind bars at least.. Can you imaging how many Joe Six-packs lost their pants that day, because some jerk thinks whatever he thinks? There is no wrong doing on what he thinks, but accusing on air and making a statements after taking a position in the stock? Arsemanhole should be in jail and separated from his extra money (no matter if he's right or wrong), if he doesn't know how to keep his mouth shut. Ackerman Dick, I which HLF goes to 100$ now so you lose your easy money, Jackass.

P.S And no, I never invest in HLF and have nothing to do with their organization, but my family using their product, like shampoo for example which is very high quality and little above average price.. HLF product is good, seriously.. F*ck Ackerman

Fri, 02/15/2013 - 07:11 | Link to Comment SilverMoneyBags
SilverMoneyBags's picture

Exactly, this would be hilarious if Ichan loses his ass too. Egotistic assholes.

Thu, 02/14/2013 - 18:49 | Link to Comment Zap Powerz
Zap Powerz's picture

Herbalife: proving yet again that there are millions of suckers born every minute.

Thu, 02/14/2013 - 21:03 | Link to Comment rogeliokh
rogeliokh's picture

They both shouldn't be using publicly trading company
for their personal agenda. Those stock swings are enormous.
Both Jews should be fined by amount equivalent to their investment..
It's like a Wall Street zoo. What SEC? helllllloo.. Anybody out there???

Fri, 02/15/2013 - 01:41 | Link to Comment SoundMoney45
SoundMoney45's picture

Two useless parasites fighting.  Can't we just put them in a Roman arena and let them go at it just to entertain the masses?

Thu, 02/14/2013 - 18:21 | Link to Comment CClarity
CClarity's picture

Saber wars - or prick tease?

Thu, 02/14/2013 - 18:29 | Link to Comment Ness.
Ness.'s picture

My dad would refer to this as on 'old school pissing contest'.

 

Round 1 - Icahn

Thu, 02/14/2013 - 18:48 | Link to Comment jcaz
jcaz's picture

Carl wins this one- he'll bet his last dime on this deal, he doesn't care if he goes tit-up at his age-  and he knows Bill does.

Ultimate poker.

Thu, 02/14/2013 - 19:26 | Link to Comment kliguy38
kliguy38's picture

Precisely, never swim in a pool of sharks if you aren't the biggest and baddest.....there's blood in this pool now and it ain't Carl's

Thu, 02/14/2013 - 18:21 | Link to Comment silverserfer
silverserfer's picture

ACK!

Thu, 02/14/2013 - 18:21 | Link to Comment Seasmoke
Seasmoke's picture

i am betting on the Jew

Thu, 02/14/2013 - 18:38 | Link to Comment Eally Ucked
Eally Ucked's picture

Which one?

Thu, 02/14/2013 - 18:26 | Link to Comment Freddie
Freddie's picture

Tyler - not all of us are folling the story.  Is Ackman short?  I thought he was. 

Icahn is no prize but Ackman is a jerk off.

Thu, 02/14/2013 - 20:00 | Link to Comment Everybodys All ...
Everybodys All American's picture

Ackman is short and Icahn has been long and getting longer. The pissing contest between the two has apparently a history which goes back over the years on some other pissing contest. The company over which I don't know but once again they had opposing stakes. Icahn has been itching for a fight with Ackman apparently ever since and it's over Herbalife for which most speculate the bad blood goes back to that original battle. Now it has become who can be a bigger asshole.

Thu, 02/14/2013 - 18:28 | Link to Comment otto skorzeny
otto skorzeny's picture

what does this company sell?weed?

Thu, 02/14/2013 - 18:45 | Link to Comment Eally Ucked
Eally Ucked's picture

Nobody knows but it's good for you!

Thu, 02/14/2013 - 19:12 | Link to Comment chump666
chump666's picture

Close, but try Snake Oil.

It's crappy junk heap, I hope these rich greedy a-holes that bought in namely Icahn get taken out by the other rich a-hole.

Devour.

Fri, 02/15/2013 - 04:59 | Link to Comment fredquimby
fredquimby's picture

what does this company sell?weed?

Nah, thats $MJNA, $HEMP, $GRNH, $PHOT and $CBIS

 

Thu, 02/14/2013 - 18:32 | Link to Comment booboo
Thu, 02/14/2013 - 18:39 | Link to Comment buzzsaw99
buzzsaw99's picture

You have the ring, and I see your Schwartz is as big as mine. Now let's see how well you handle it.

Thu, 02/14/2013 - 18:34 | Link to Comment rqb1
rqb1's picture

I like Ackman, his work on ggp was spectacular,  never followed in the jcp or herb ideas though.

Fri, 02/15/2013 - 08:00 | Link to Comment tmorris
tmorris's picture

Peter Principle!

Thu, 02/14/2013 - 18:36 | Link to Comment astoriajoe
astoriajoe's picture

I thought it was pretty funny when Icahn bought CVI energy last year, planning to sell it to some other refiner.

So he fires the board, replaces them with a slate with virtually no industry experience, and then no one wants to buy the company.

Good luck Carl!

Thu, 02/14/2013 - 18:36 | Link to Comment francis_sawyer
francis_sawyer's picture

As I said a few days ago... The only thing capable of ensuing more hilarity than 'Jew vs. Goy', is 'Jew vs. Jew'...

Thu, 02/14/2013 - 18:40 | Link to Comment buzzsaw99
buzzsaw99's picture

Two jooz enter, one joo leaves. [/beyond hilarious]

Thu, 02/14/2013 - 19:43 | Link to Comment Karlus
Karlus's picture

Wait, is that break a deal, face the wheel? Or oven (off color humor)

In b4 the minus I clearly earned with this :)

Thu, 02/14/2013 - 18:58 | Link to Comment LasVegasDave
LasVegasDave's picture

How's it feel FRANCIS, to know you will NEVER be in their league

and are just an insignificant LOSER typing in anonymity, while those two YIDS battle it out in the REAL WORLD

Fuck you scumbag

Thu, 02/14/2013 - 19:06 | Link to Comment buzzsaw99
buzzsaw99's picture

set the hook francis, he took the joo-bait. joo be doobie doo... roflmao

Thu, 02/14/2013 - 20:24 | Link to Comment Manipuflation
Manipuflation's picture

Agreed, I am going to go make some popcorn for this.lol

Thu, 02/14/2013 - 21:17 | Link to Comment francis_sawyer
francis_sawyer's picture

REAL WORLD... [He said it ~ I didn't]

~~~

As I said... 'All hilarity ensues'...

Fri, 02/15/2013 - 08:58 | Link to Comment WillyGroper
WillyGroper's picture

I guess I'm going to have to rethink how copper wire was invented.

Thu, 02/14/2013 - 18:37 | Link to Comment Cdad
Cdad's picture

Good...very good.  MOAR ridiculousness in this market.  MOAR revelation for everyone to see just how broken it is, how it is down to a billionaire driven ego fest, a place where fundamental analysis means little, and price movement means even less.

Go ahead Carl...show the world what a dick you are...and how it is men like you who have broken the system, raped and pillaged it for your personal gain.

Go....go go go...MOAR bullshit...stream it live...bring them back on the BlowHorn [CNBC].  These are your capital markets, America.  This is what now passes for capitalism.

Maybe we can even get the Fed to jump in.  How about we just arrest Ackman straight out?

Good...very good.

Thu, 02/14/2013 - 18:46 | Link to Comment SheepDog-One
SheepDog-One's picture

And 'complacency' now sits at all-time ignorance-is-bliss highs.

Then one morning soon we'll hear them all shrieking about how they just lost it all, and why didn't someone warn them, and they really really demand someone bail them out.

Thu, 02/14/2013 - 19:02 | Link to Comment Cdad
Cdad's picture

Cdad's proprietary FUBAR klaxon is sounding, brother Dog.  And the volume of the Calliope music is rising, as well.  

We've been told that retail is buying in.  Valuations are such that...if you talk about them...people actually berate you.  Trash to Treasure trades are weeks long in the tooth [ie bank stawks].  Goldman is looting its clientele [HNZ], and The Oracle is turning in his value spurs for momentum.  Oil is about to break $100.  The trashing of PM's is months along.  Insiders are unloading at record pace.  Corporate cash is out the door in the form of accelerated dividends.  All time highs and 52 week highs are the norm.  Sentiment readings breaking through the tops of the charts. D. "balls to the walls" Tepper continues to unload shares.

Yeah...looks like a great time to buy.

Thu, 02/14/2013 - 19:05 | Link to Comment n.d.v.
n.d.v.'s picture

What exactly is "broken" in this particular case? Looks like "price discovery" at it's very finest to me.

Thu, 02/14/2013 - 19:36 | Link to Comment Cdad
Cdad's picture

Yeah...absolutely...price discovery.  Up 21% in an hour on a 13 D.  Perfectly efficient.  I'm with you.  All in tomorrow, baby.

Thu, 02/14/2013 - 19:38 | Link to Comment Cdad
Cdad's picture

...errrr...make that 22 and a half percent.  Eeeebidda  eeeeebidda...can I get 24%....eeeeebidda....eeeebidda...

Thu, 02/14/2013 - 19:39 | Link to Comment Cdad
Cdad's picture

...now 24....can I get 25...whose got the 25.....

Thu, 02/14/2013 - 20:45 | Link to Comment Cdad
Cdad's picture

24% premium to the closing bell price to this idiot over here is bid...on the Carl "my 13 D[ick] is bigger than yours" Icahn catalyst...do we have a terminal idiot anywhere in the room willing to take it to a 25% premium...anyone....eeeebidda  eeeebidda eeeebidda...going once....looking for 25% MOAR....eeeebidda eeeebidda....going twice....

Thu, 02/14/2013 - 18:41 | Link to Comment Quit Your Bitchin
Quit Your Bitchin's picture

The chart makes it look like a draw to me as of right now. Maybe Ackman sold some shares. Stay tuned for more fun and excitement ...

Thu, 02/14/2013 - 18:46 | Link to Comment rahbii
rahbii's picture

I'm happy to sell to him tomorrow.  And what's the short interest in RIMM/BBRY btw?  

Thu, 02/14/2013 - 19:10 | Link to Comment robertocarlos
robertocarlos's picture

Ballsilie sold all his 26 million shares in the last year. At one time they were worth over 2.5 billion and he almost bought the Coyotes. Today he got maybe 400 million so by not buying the Coyotes he came out about the same.

Thu, 02/14/2013 - 18:51 | Link to Comment chump666
chump666's picture

Yeah but Icahn just bought junk.  Game is on.  Ackman can still take out Icahn.

Exciting.

Thu, 02/14/2013 - 18:56 | Link to Comment kahunabear
kahunabear's picture

Not just Icahn. Loeb, Heebner, Lone Pine appear to be on board too. 

Thu, 02/14/2013 - 19:09 | Link to Comment chump666
chump666's picture

Yes, Icahn is impulsive.  Like the market at the moment.  Soros just pulled out of Amazon etc.  Herbalife?

 

Thu, 02/14/2013 - 18:53 | Link to Comment SheepDog-One
SheepDog-One's picture

Well...all those shorts sure have some balls I guess.

Thu, 02/14/2013 - 18:54 | Link to Comment kahunabear
kahunabear's picture

Never bet against Mr. Pink.

Thu, 02/14/2013 - 18:58 | Link to Comment Haager
Haager's picture

I've heard Ackmann is trying to get Einhorn on the line. I have no idea why.

Thu, 02/14/2013 - 18:59 | Link to Comment bchbum
bchbum's picture

Wonder if Icahn has helped hlf with earnings on the 19th.  Bet my last dollar he knows what they are and the short squeeze continues.

Thu, 02/14/2013 - 18:59 | Link to Comment DavyRoySixPack
DavyRoySixPack's picture

Wild speculation here ... probably a giant to stretch writing in terms that may be only marginally tangentally related but, here goes ...

 

I have been in the process of rebuilding my colon and stomach wall with a super-high rich super-food diet that is all liquid .... I got it from Dr. Cassar at Earthshift products ... he does a whole bunch of videos on utube that explain the process.

 

Anyways the nutrition system costs me about $1.50 to eat. My food bill is in the floor and you quickly realize how we americans are eating way more than we need and spending huge amounts of money we don't necessarily need to. Is the diet easy? NO NO NO .... but in a world where food goes crazy in price ... people could eat healthier for far less if they had to ...... and Herbalife may be part of this movement that Dr. Cassar is suggesting could become a world movement to feed the world and food it with higher vibrational food - real food. (ie Blue-green algae, Chia seeds, vital liquids.

 

like I said ...... it is a stretch ..... 

Thu, 02/14/2013 - 22:29 | Link to Comment Ned Zeppelin
Ned Zeppelin's picture

WTF?!?!?!?

Thu, 02/14/2013 - 19:00 | Link to Comment Solarman
Solarman's picture

And what if Ackman loaded up on OTM calls right before he called out Icahn?  We don't know anything, but when you pick a fight with a bully, you know what his reaction is, so you front run it.

Thu, 02/14/2013 - 20:24 | Link to Comment ZeroAvatar
ZeroAvatar's picture

Herbalife is the short of the centu.......no, wait....Facebook is the short of the cen..no....GOT IT!  AAPL is the short of the.....wait a minute,.....

Thu, 02/14/2013 - 20:43 | Link to Comment WTF2
WTF2's picture

Ican has big advantage here!

Thu, 02/14/2013 - 21:29 | Link to Comment tradewithdave
tradewithdave's picture

If pyramids are so lame how come those pyramids in Egypt are still attracting tourists and still standing? Indicting MLM as a strategy seems risky when MLM's weakness isn't efficiency, it's the likelihood of a cascading exodus of distributors due to product issues, operational glitches or lack of income? Are distributors experiencing those negatives? If no, then does all the attention merely lead to more sales and more profits?

Thu, 02/14/2013 - 21:34 | Link to Comment adr
adr's picture

We don't know because Herbalife self reports its sales. There are no documents to prove sales from distributor to consumer.

Herbalife distributors must purchase the product, making it a pyramid scheme. Different from Avon which pays a commission on sales sold direct from the company.

Not to mention that Herbalife sells toxic garbage produced for a couple pennies for 1000% markup.

Thu, 02/14/2013 - 22:31 | Link to Comment Ned Zeppelin
Ned Zeppelin's picture

Herballife is a pyramid scheme.  No doubt about it. But others have survived, like Amway.

Gotta make living somehow. Even if it is a scam.  Ask Bernanke.

Fri, 02/15/2013 - 04:01 | Link to Comment tradewithdave
tradewithdave's picture

Sounds like a cash printing machine if you ask me. Whenever analyzing the Ag/pharma/industrial complex figures make sure you use the AFHM nominal GDP figures (adjusted for horse meat) and you should be fine. I don't believe any horses were harmed in the making of those particular profits. Not so sure about those big box frozen lasagnas.

Thu, 02/14/2013 - 21:29 | Link to Comment adr
adr's picture

Must be fun letting the Herbashit board cash out millions worth of stock, buying CA mansions, yachts, and supercars. Oh yeah, HELPIN OUT THE CA ECONOMY, must be why.

Herbalife could give the worst of the worst a run for the shithole corporation of the world award. Every board memeber and executive should be arrested and thrown away for 100 years. Instead a jew fight lifts the stock 25% in minutes.

Fuck this game. We need to figure out if billionaires can sprout wings if thrown off tall buildings.

Thu, 02/14/2013 - 21:50 | Link to Comment Squid Vicious
Squid Vicious's picture

Has the other prick Tilson thown in the towel yet a la Netflix in 2011...

Thu, 02/14/2013 - 22:22 | Link to Comment goldenbuddha454
goldenbuddha454's picture

Don't think there's not some marketing genius between Icahn and Ackman saying 'Look, if we play this right, both you guys can come out looking pretty, so let's go with the good cop, bad cop routine.  The media will love it, share holders will love it and bond holders will love it.  Its a win win situation!'.

     Sorry, I can't believe these two are going head to head for the sake of their super egos.  When it comes down to making money, they both know how to do it quite well. 

Thu, 02/14/2013 - 22:28 | Link to Comment goldenbuddha454
goldenbuddha454's picture

By the tone of most of your comments out there, it seems you all feel these two guys are on opposite sides of the fence.  I think they're wanting to make two turds (JC Pennys and Herbalife) pop just enough to be able to make a huge dump and get out squeeky clean.  JMHO!

Thu, 02/14/2013 - 22:40 | Link to Comment EclecticParrot
EclecticParrot's picture

Geeze.  I wish I had nothing better to do than take my collection of softball-sized diamonds, roll them up in platinum leaf laced with white truffles, add a drop of skunk oil, then toss them repeatedly at my least favorite neighbor, who's made a habit of cutting his 30-acre lawn with a 1931 Bugatti dragging genuine swords from the Ming Dynasty,  while a supermodel gently perched on his lap pours Vosne-Romanee Premier Cru into 20 oz. Dixie cups.  

It's not his ostentatious display that pisses me off, you understand, but the fact that he does this yard work while the Vienna Philharmonic, hired specifically to accompany this weekly chore, is asked to play Shostakovich's 7th, rather than his far superior 5th symphony.  Clearly a poseur !

Thu, 02/14/2013 - 23:18 | Link to Comment BubbleBobble
BubbleBobble's picture

I'd like to side with Ackman on this, but after reading Bronte Capital's analyisis of Herbalife,  I'm inclined to jump on the short squeeze train!

 

http://brontecapital.blogspot.ca/2013/01/notes-on-visiting-herbalife-nut...

This club was not a club selling diet drinks (but it clearly did that). It was a club selling the social support group necessary to drink diet drinks. These diet drinks work (especially when combined with a modicum of exercise). What happens though is that normal people do not have the will-power to maintain a diet drink and exercise regime. My friend in Singapore did – but then he rowed competitively and people into rowing are austere driven people (think all those 4 AM starts).

Fri, 02/15/2013 - 10:25 | Link to Comment astoriajoe
astoriajoe's picture

pyramids are one of the most stable structures known to man!

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