Trouble in Paradise w Ackman and Pearson

By "paradise" I mean determining the exact process to legalize insider trading (billionaires only) before insulting the worlds intelligence for months on end with fake stories.

I digress, anyway, while Ackman was on stage having his Herbal Life meltdown, the Wall Street Journal lead writer on activist investors tweeted:

"Worth noting amid HLF rally: Valeant CEO said Ackman hasn't been as helpful an ally to $VRX as hoped. Could $HLF seep into Allergan fight?"

https://twitter.com/DaveCBenoit/status/491689786982551552

What happens next? Pressure builds on Valeant - while Ackman is CAPPED OUT? Valeant has some money to increase the offer, not a lot. Ackman has nothing to gain by more money going into the mix. Valeant stock is falling. At what point is Billy better off with Allergan long?

How do you think Billy feels about Pearson? These guys, from a primal perspective, would hate each other, Pearson is a schoolyard bully while Ackman is a silverspoon brat who would tattle tale and have his parents sue the bully.

Eat what you kill, as they say on the Street. Good luck, gents.

 

You know what I love about that Pearson quote?? Pearson felt he needed to legitimize Valeant's business model by bringing in an activist investor, thus admitting the business model is suspect. Then he taps Ackman to be his pawn. Ackman then takes all the risk. Ackman then starts the media campaign to sling mud on Allergan. Its slowly backfires as he sobs about his Russian roots. Pearson sobs to his home country's SEC that Allergan called him names. Wall St sees thru the Herbalife scam Ackman is running. This is great theater. Working title "Jabba and the Twink"

 

Theatre indeed...

I don't think Pearson had the money or swagger to do this alone, but now Ackman is acting like a fool losing credibility over something that has nothing to do with valeant.

Meanwhile there's still almost a $3 billion dollar spread in non-GAAP ($866 million) and reality ($2 billion of losses by overpaying for outsourced R&D) and massive debt due in less than 5 years...all while Ackman's short bet on Herbal Life losses him $1billion on Jan 15,2015

High stakes game boys

 

This is a load of crap

 

Appropriately scathing letter from Ackman

 

Ackman is an asshole!!!

 

Must say that I agree. Extremely self serving letter.