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The Morning Brief: Tiger Global’s Etsy IPO Windfall

One of the bigger beneficiaries of Thursday’s initial public offering of Etsy is Tiger Global Management. Several partnerships controlled by the venture-capital arm of the New York investment firm own more than 7.1 million shares of the Brooklyn-based online crafts marketplace. The offering was priced at $16 per share and the stock closed at $30, its high for the day, up 87.5 percent. According to the prospectus, Tiger Global did not plan to sell any shares in the IPO. However, it currently owns more than 7.1 million shares, or 7.3 percent of the total before the IPO and 6.4 percent after the offering. The filing also notes that on April 1, 2014, Tiger Global bought a little more than 3.3 million shares of Etsy for $10.60 a share, for a total of $35 million. This chunk of shares alone is now worth about $100 million, or nearly triple what Tiger Global had paid for them..

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Funds of funds posted average gains of 3.02 percent in the first quarter, exceeding single manager funds, which rose 2.88 percent during the period, according to a new report from London-based Preqin. This is the third straight quarter funds of funds have outperforming single manager hedge funds, according to the data collector, and the first time since the second quarter of 2012. Preqin also reports that in 2014 total assets among funds of funds rose by $33 billion to $819 billion, the first time they grew since 2011. They expanded by another $8 billion in the first quarter..

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Alexander J. Roepers’ Atlantic Investment Management cut its stake in Oil States International to 4.2 percent. As a result, it no longer needs to file updates with regulators unless it returns to the 5 percent threshold. Even so, in a filing the New York shareholder activist stresses it will continue to monitor the goings on at the company.

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