What makes you think that? Either way, to me, major interest from Baupost is very encouraging. I wonder how old their investment is? I discovered them many years ago and have always been exceptionally impressed with their investment philosophy and performance..... never had enough to hit their minimum investment bogey but nice to see them involved here..
I checked. They initiated the position in Q4 buying about $61 MM face of the preferreds and increased the position slightly in Q1. They did not add or subtract in Q2. Baupost is quite risk adverse. So the fact they're in the preferreds says alot. Not sure if it says anything about the equity, but to be willing to take a more risk than baupost typically does is not unreasonable. Pimm