Back in September 2016, some 14 months before voluntarily entering Chapter 11 bankruptcy protection, Cumulus Media attempted to save its shriveling stock price and move it out of the penny category by engineering a 1-for-8 reverse stock split.
At the time, “Greywolf Event Driven Master Fund” was shown as holding 5.5% of the company’s shares.
The wolf is howling again, and this time the registered investment adviser with approximately $3.8 billion in assets under management allocated “across our Distressed, Event Driven and CLO Credit Strategies” is taking another big bite of Cumulus stock.
The hedge fund is tied to Greywolf Capital, and SEC filings it recently made show the Westchester County, N.Y.-based investment company adding the number of Cumulus shares it has by exactly 135.14%.
Now, 1.77% of the entire Greywolf portfolio is comprised of Cumulus stock, as it acquired 167,760 shares.
The purchase prices were between $15.45 and $18.70, with an estimated average price of $17.51, GuruFocus.com notes.
Cumulus has seen mixed activity with its stock since it began trading again as “CMLS” just over one year ago. However, it has failed to surpass its opening day closing price of $20.90. Still, Cumulus remains ahead of its Jan. 3, 2019, close of $11 and a $12.60 dip seen just two weeks ago, on Aug. 7.
Cumulus bears a 1-year target estimate of $21.33.