Daniel Och’s Oz Management has a new top holding Actavis Pharmaceutical (ACT) moved from the 4th spot last quarter to the number one position with Och’s increase in the number of shares held by 21%. Now Och has 31.8 million shares of Actavis worth $709 million.
This large increase in the Actavis stake comes at a propitious time; a month ago, ACT announced it was acquiring Forest Laboratories (FRX) for $28 billion. It is estimated that Forest could add another 40%-50% to Actavis’ $10 billion revenue, and could earn ACT $1 billion in cost synergies. While Actavis is a leading player in generics, FRX will increase its exposure to specialty pharmaceuticals, which command higher prices.
Oz Management has the largest stake in Actavis, followed by Barry Rosenstein’s Jana Partners, with 2.65 million, Dan Loeb’s Third Point, with 2.5 million and Stephen Mandel’s Lone Pine Capital, with 2.47 million.