Glenn Fuhrman and John Phelan have reduced their position in DineEquity, Inc (NYSE:DIN). A recent 13G filing shows that MSD Capital, L.P., sold 300,000 shares of the company bringing the ownership down to 2.1 million shares. The new stake represents a nearly 10.8% ownership of Dineequity, Inc, significantly down from 33.6% held at the end of last year.
Mason Hawkins of Southeastern Asset Management is also a significant holder of DineEquity, Inc (NYSE:DIN), which owns 1.3 million shares of the company. Other remarkable stakeholders of the company are Frank Brosens’ Taconic Capital, which holds 365,000 shares worth $30.5 million, and Christopher Hansen’s Valiant Capital, which owns 286,400 shares worth $23.9 million.
Based in Glendale, California, DineEquity, through its subsidiaries and franchises operates restaurants under the Applebee’s Neighborhood Grill & Bar and International House of Pancakes (IHOP) brands. The company has a market cap of $1.6 billion and a beta of 3.17.
For the fourth quarter of 2013, DineEquity, Inc (NYSE:DIN) recorded EPS of $0.94, which compares to $0.83 for the same period in 2012. For full 2013, it reported earnings of $4.24 per share, compared to $4.28 in 2012. For full 2014, the company expects net income of around $1.5 million. Late last month, DineEquity declared a first quarter cash dividend of $0.75 per share of common stock, payable March 28, 2014.
In 1998, MSD Capital was founded strictly to manage Michael Dell’s funds. The hedge fund engages in a broad range of investments ranging from publicly traded securities to privately traded companies, and even dabbles in real estate. A key differentiating aspect of the fund is that it maintains a permanent capital base. This allows the firm to participate in unique transactions with greater flexibility. The hedge fund is run by both Glenn Fuhrman and John Phelan and has a portfolio value of $585.3 million.
MSD Capital is also bullish on Asbury Automotive Group Inc (NYSE:ABG), with a stake of 2.6 million shares worth $138.6 million. It also holds approximately 765,700 shares worth $104.1 million of PVH Corporation (NYSE:PVH). Another significant holding of MSD Capital is Delphi Automotive Plc (NYSE:DLPH). It owns 1.3 million shares in the company, which is equivalent to $79.0 million.
Disclosure:none
Recommended Reading:
Mark Stupfel’s Cortex Capital Management Is Bullish On These Stocks
Billionaire John Paulson and Jacob Gottlieb Boost Their Stakes in Enzymotec Ltd (ENZY)
Elliott Management Wagers on Boyd Gaming Corp. (BYD)