One of Saga Communications’ biggest shareholders is TowerView LLC, led by well-known investor Daniel R. Tisch (pictured).
According to a SEC filing, Tisch took advantage of Saga’s record low stock price by acquiring a few thousand more shares at a discount to Monday’s closing value.
TowerView LLC is a 10% owner, as listed by the SEC, of Saga.
As of March 30, 2019, it holds 23.1% of the total shares issued by Saga, followed by T. Rowe Price and Associates with 13.2%; Royce & Associates at 11.25%; and FMR LLC at 10.1%.
Now, Saga is set to widen its total shares in the radio broadcasting company to 1,166,395, thanks to a May 21 acquisition of 2,754 Class A shares at a strike price of $28.3487.
This is a discount to Saga’s closing price on May 21 of $28.66.
As such, investors initially reacted by reducing their holdings in Saga, with shares down 1.4% to $28.26 as of 3:09pm Eastern on May 22. At the Closing Bell, SGA was up 5 cents to $28.71.
Nearly 92% of all Saga shares are held by institutions, and the big selloff came over a 20-minute period that began at 10:30am, sending SGA to $28 before slowly recovering.
The dip to $28 is noteworthy, for it put Saga at a new pricing low.
As RBR+TVBR has reported, investor sentiment may be lukewarm on Saga at this time, following revelations from CEO Ed Christian that station group sales leaders had failed to follow through on “necessary changes” to Saga’s sales strategy and tactics.
