Billionaire investors George Soros and Carl Icahn are investing a lot of money in the Network Marketing model through Herbalife, even though critic and short -seller, Bill Ackman is doing the opposite.
“Shares of Herbalife have roughly doubled this year. Shares were up $5.25, or 8.7%, to $65.29 in afternoon trading Wednesday.
Herbalife has become an increasingly public battleground between massive investors including Carl Icahn, who is betting on the stock, and Bill Ackman, who is betting against it.
Reports of the purchase by CNBC couldn’t be confirmed. The TV network didn’t provide the names of people it claims to have gotten the information from.
Ackman has been alleging that Herbalife is a pyramid scheme that deserves regulatory scrutiny. The company has denied the allegations.
Meanwhile, Icahn, a vocal critic of Ackman, has been accumulating shares of Herbalife and is now the biggest single investor, with a 16% stake, according to S&P Capital IQ.”
- via USA Today