{"id":4444,"date":"2006-05-18T00:00:00","date_gmt":"2006-05-18T00:00:00","guid":{"rendered":""},"modified":"-0001-11-30T00:00:00","modified_gmt":"-0001-11-30T04:00:00","slug":"fund-buys-13-stake-in-movie-gallery","status":"publish","type":"post","link":"https:\/\/hedgeco.net\/news\/05\/2006\/fund-buys-13-stake-in-movie-gallery.html","title":{"rendered":"Fund Buys 13% Stake in Movie Gallery"},"content":{"rendered":"<p><strong>Seeking Alpha &#8211; New 10% Owner\/Continued Institutional Buying for Movie Gallery (<a href=\"http:\/\/seekingalpha.com\/by\/symbol\/movi\/\" title=\"More opinion and analysis of MOVI\">MOVI<\/a>): A hedgefund that concentrates on special situation investing in financially troubled and distressed clients has increased its stake in Movie Gallery (<a href=\"http:\/\/seekingalpha.com\/by\/symbol\/movi\/\" title=\"More opinion and analysis of MOVI\">MOVI<\/a>), buying the stock on the same day that its value gapped more than 50% higher on stronger-than-expected earnings.<\/strong><\/p>\n<p>  <strong>Schultze Asset Management (\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009dSAM\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d) disclosed May 17th that it now holds an approximately 4.27M-share, or 13.4%, stake in MOVI, up from a 2.77M-share, or 8.6%, stake on April 26th. The firm  upped its stake by purchasing 1.5M shares of MOVI at $5.22 on May 11th, and it is now MOVI\u00c3\u00a2\u00e2\u201a\u00ac\u00e2\u201e\u00a2s largest shareholder.<\/strong><\/p>\n<p>  <strong>In its original Form 13D filing, SAM said that it wants to help MOVI reduce its debt.<\/strong><\/p>\n<p>  <strong>\u00c3\u00a2\u00e2\u201a\u00ac\u00c5\u201cSAM intends to contact management and\/or the board of directors of [MOVI] to propose a number of possible shareholder value-enhancing steps. Such steps may include, but are not limited to,  a shareholder rights offering to raise funds from existing shareholders. The possible shareholder rights offering may serve to raise capital from existing shareholders in an effort to reduce bank  and\/or bond debt so that future interest expense may be lowered and\/or to raise cash for general corporate purposes,\u00c3\u00a2\u00e2\u201a\u00ac\u00c2\u009d the firm said.<\/strong><\/p>\n<p>  <strong>MOVI, which has been granted relief by creditors in recent months, greeted the news warmly.<\/strong><\/p>\n<p><strong><a href=\"http:\/\/news.google.com\/news\/url?sa=T&amp;ct=us\/7-0&amp;fd=R&amp;url=http:\/\/mediastockblog.com\/article\/10840&amp;cid=0&amp;ei=ayRsRKOxFJL2oAK_pcTnCQ\">Read CompleteArticle<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Seeking Alpha &#8211; New 10% Owner\/Continued Institutional Buying for Movie Gallery (MOVI): A hedgefund that concentrates on special situation investing in financially troubled and distressed clients has increased its stake in Movie Gallery (MOVI), buying the stock on the same [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-4444","post","type-post","status-publish","format-standard","hentry","category-syndicated"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/4444","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=4444"}],"version-history":[{"count":0,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/4444\/revisions"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=4444"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=4444"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=4444"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}