Zerohedge-Explains Icahn is buying in upper $40/share range and will squeeze shorts
Scarier for the shorts is that unlike before, Icahn is no longer pussyfooting with costless collars and is buying the shares outright at a blended cost somewhere in the upper $40/share range. The end game here is now very clear: build up a sufficient stake in the company to where the the shorts outstanding are greater than the open float, at which point the stock borrow is pulled creating an epic squeeze, just as we predicted would happen back in December.
What is tangentially quite amazing is that according to the just filed 13-D, Icahn bought nearly 2% of the company in three short trading days, and without moving the price materially. In fact, of today's entire 4.1 million share volume, Icahn's bid-side VWAP algo was responsible for a stunning 1.5 million shares, or 36% of the total.
Will Icahn continue buying HLF every day? You bet: the moral of the story then and now: you don't #$%$ off a multi-billionaire on primetime TV whose only thought afterwards is how to #$%$ on your grave as fast as possible.
That Icahn is out there. He can't be bargained with. He can't be reasoned with. He doesn't feel pity, or remorse, or fear. And he absolutely will not stop, ever, until Ackman is destroyed.