Bloomberg News

SAC Capital Increases Holdings in Facebook as Shares Rise

February 15, 2013

SAC Capital Advisors LP, the $14 billion hedge fund run by Steven A. Cohen, joined other investors in boosting stakes in Facebook Inc. (FB:US) during the fourth quarter, as the company took steps to bring in more revenue.

SAC Capital increased its holding in Facebook by 7.99 million shares, bringing its stake to 8.5 million shares, worth $242.1 million, according to a filing yesterday. D.E. Shaw & Co., the New York-based hedge fund that uses computer models to pick trades, increased its stake by 7.58 million to 7.8 million, or $222.3 million.

Facebook has climbed (FB:US) more than 50 percent from a record low in September, as the company assuaged concerns over revenue growth and weak mobile advertising that sent the shares to half of their May initial offering price of $38 apiece. Mobile-ad sales made up 23 percent of ad revenue (FB:US) during the fourth quarter, up from 14 percent in the previous period.

Other investors had sold out by the end of the year. John A. Thaler’s JAT Capital Management LP reduced its holdings by 5.64 million shares to 532,312, according to a filing.

Facebook rose 2.1 percent to $28.50 at yesterday’s close in New York. Shares of the Menlo Park, California-based company are down 25 percent from last year’s IPO.

To contact the reporter on this story: Brian Womack in San Francisco at bwomack1@bloomberg.net

To contact the editor responsible for this story: Tom Giles at tgiles5@bloomberg.net


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    (Facebook Inc)
    • $77.91 USD
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