Ackman Nets $100 Million of Profit From Sale of Nike Stake
Ackman Nets $100 Million of Profit From Sale of Nike Stake
(Bloomberg) -- Bill Ackman’s run of bad luck may have come to an end. The billionaire activist investor has made a profit of about $100 million from selling his stake in Nike after just a few months.
Ackman’s Pershing Square Capital Management disclosed a passive stake in the sportswear maker in January. At the time, Ackman said he bought the stock for an average price of $52 per share. He sold his stake after a 32 percent jump in the share price, according to a person familiar with the matter, who asked not to be identified because the details are private.
Nike shares fell 1.5 percent to $65.34 at 2:47 p.m. Thursday in New York, amid the larger market sell-off.
A representative for Pershing Square declined to comment. A representative for Beaverton, Oregon-based Nike didn’t immediately respond to a request for comment. The Wall Street Journal first reported the sale of Pershing Square’s stake.
The news comes after a rocky few months for Ackman, as his investment in Chipotle Mexican Grill Inc. continues to lag and he admitted defeat in his epic battle with Carl Icahn over his $1 billion short position in Herbalife Ltd.
To contact the reporter on this story: Scott Deveau in New York at sdeveau2@bloomberg.net.
To contact the editors responsible for this story: Elizabeth Fournier at efournier5@bloomberg.net, Michael Hytha, Jonathan Roeder
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