(GuruFocus, September 29,2009)Wibur Ross, Chairman and CEO of WL Ross& Co., operates in Private Equity space. He and his team are specialized in the distressed asset and corporate turnaround situations.
The latest activities illustrate how he invests money.
Earlier this year, in March, 2009, he was reported to join force with IBM to bid for the troubled Indian IT company Satyam Computer Services Ltd..(SAY, Financial). In January, 2009 Satyam was discovered to have cooked its books and the stock lost more than 90% of its value.
WL Ross & Company is also reported to commit $1 billion to participate in the government’s P ublic-Private Investment Program (PPIP), a program allows private investors to buy bank’s trouble assets with the support of public money. To beef up the deep bench, In August 2009, the company hired James B. Lockhart III, the former head of the regulator that oversaw Fannie Mae and Freddie Mac, as the vice chairman. That does not mean he can’t do well with common stock investments. As a matter of fact, since July 1, 2009, his portfolio is up more than 40%, far outperform than the S&P 500’s 16% gain.
As of June 30, 2009, Wilbur Ross’ s firm reported to have invested $421 million in 13 US-traded stocks. The top holdings are:
It appears to be a very concentrated portfolio, but the distressed asset Investment Guru has other games at play so this is hardly all his investments.
Assured Guaranty (AGO, Financial) Assured Guaranty is a Bermuda-based holding company providing credit enhancement products to the municipal finance structured finance and mortgage markets. Assured Guaranty Ltd. has a market cap of $3.21 billion; its shares were traded at around $20.44 with a P/E ratio of 15.7 and P/S ratio of 6.4. The dividend yield of Assured Guaranty Ltd. stocks is 0.9%. Ross owns 16,016,396 shares as of 06/30/2009, an increase of 31.64% from the previous quarter. This position accounts for 47.11% of the $420 million portfolio of Invesco Private Capital, Inc..
Montpelier Re Holdings Ltd.(MRH, Financial) Montpelier Re Holdings Ltd. through its operating subsidiaries is a premier provider of global specialty property reinsurance products. Montpelier Re Holdings Ltd. has a market cap of $1.41 billion; its shares were traded at around $16.51 with a P/E ratio of 12.3 and P/S ratio of 2.7. The dividend yield of Montpelier Re Holdings Ltd. stocks is 1.8%. Ross owns 6,896,552 shares as of 06/30/2009, which accounts for 21.77% of the $420 million portfolio of Invesco Private Capital, Inc..
International Coal Group Inc. (ICO, Financial)
International Coal Group Inc. (ICO) is a leading producer of coal in Northern and Central Appalachia and the Illinois Basin. The company has eleven active mining complexes of which ten are located in Northern and Central Appalachia and one in Central Illinois. International Coal Group Inc. has a market cap of $645.9 million; its shares were traded at around $4.16 with a P/E ratio of 69.8 and P/S ratio of 0.6.
Ross owns 24,537,423 shares as of 06/30/2009, which accounts for 16.67% of the $420 million portfolio of Invesco Private Capital, Inc..
MetroPCS Communications (PCS, Financial) MetroPCS Communications provides wireless communications services. Metropcs Communications Inc. has a market cap of $3.33 billion; its shares were traded at around $9.73 with a P/E ratio of 22 and P/S ratio of 1.2. Ross owns 3,577,873 shares as of 06/30/2009, which accounts for 11.31% of the $420 million portfolio of Invesco Private Capital, Inc..
Satyam Computer Services Limited (SAY) Satyam Computer Services Limited is a provider of information technology services in India. Satyam Computer Services Ltd. has a market cap of $3.81 billion; its shares were traded at around $6.62 with a P/E ratio of 4.1 and P/S ratio of 1.8. The dividend yield of Satyam Computer Services Ltd. stocks is 0.5%. Satyam Computer Services Ltd. had an annual average earning growth of 32.4% over the past 5 years Ross bought 1,844,927 shares in the quarter that ended on 06/30/2009, which is 1.36% of the $420 million portfolio of Invesco Private Capital, Inc..
Conclusion
From insurance companies to miner, from cellphone service provider to outsourcing IT firms, there is really no apparent theme is the kind of companies that Wilbur Ross owns. If you dig further, these companies all at times met some kind of trouble. Creating something new and of high value, is what Ross does the best.
GuruFocus provides real time information and insights of Investment Gurus such as Warren Buffett and Wilbur Ross for Premium Members. If you are not a premium member, click here to sign up or upgrade. 7-Day Free Trial is available. Also check out:
The latest activities illustrate how he invests money.
Earlier this year, in March, 2009, he was reported to join force with IBM to bid for the troubled Indian IT company Satyam Computer Services Ltd..(SAY, Financial). In January, 2009 Satyam was discovered to have cooked its books and the stock lost more than 90% of its value.
WL Ross & Company is also reported to commit $1 billion to participate in the government’s P ublic-Private Investment Program (PPIP), a program allows private investors to buy bank’s trouble assets with the support of public money. To beef up the deep bench, In August 2009, the company hired James B. Lockhart III, the former head of the regulator that oversaw Fannie Mae and Freddie Mac, as the vice chairman. That does not mean he can’t do well with common stock investments. As a matter of fact, since July 1, 2009, his portfolio is up more than 40%, far outperform than the S&P 500’s 16% gain.
As of June 30, 2009, Wilbur Ross’ s firm reported to have invested $421 million in 13 US-traded stocks. The top holdings are:
| Tick | Shares | Value ($'000) | Weighting | 2Q09 Change |
|---|---|---|---|---|
| AGO | 16,016,396 | 198,283 | 47.11% | 31.64% |
| MRH | 6,896,552 | 91,655 | 21.77% | |
| ICO | 24,537,423 | 70,177 | 16.67% | |
| PCS | 3,577,873 | 47,621 | 11.31% | -2.28% |
| SAY | 1,844,927 | 5,738 | 1.36% | New |
It appears to be a very concentrated portfolio, but the distressed asset Investment Guru has other games at play so this is hardly all his investments.
Assured Guaranty (AGO, Financial) Assured Guaranty is a Bermuda-based holding company providing credit enhancement products to the municipal finance structured finance and mortgage markets. Assured Guaranty Ltd. has a market cap of $3.21 billion; its shares were traded at around $20.44 with a P/E ratio of 15.7 and P/S ratio of 6.4. The dividend yield of Assured Guaranty Ltd. stocks is 0.9%. Ross owns 16,016,396 shares as of 06/30/2009, an increase of 31.64% from the previous quarter. This position accounts for 47.11% of the $420 million portfolio of Invesco Private Capital, Inc..
Montpelier Re Holdings Ltd.(MRH, Financial) Montpelier Re Holdings Ltd. through its operating subsidiaries is a premier provider of global specialty property reinsurance products. Montpelier Re Holdings Ltd. has a market cap of $1.41 billion; its shares were traded at around $16.51 with a P/E ratio of 12.3 and P/S ratio of 2.7. The dividend yield of Montpelier Re Holdings Ltd. stocks is 1.8%. Ross owns 6,896,552 shares as of 06/30/2009, which accounts for 21.77% of the $420 million portfolio of Invesco Private Capital, Inc..
International Coal Group Inc. (ICO, Financial)
International Coal Group Inc. (ICO) is a leading producer of coal in Northern and Central Appalachia and the Illinois Basin. The company has eleven active mining complexes of which ten are located in Northern and Central Appalachia and one in Central Illinois. International Coal Group Inc. has a market cap of $645.9 million; its shares were traded at around $4.16 with a P/E ratio of 69.8 and P/S ratio of 0.6.
Ross owns 24,537,423 shares as of 06/30/2009, which accounts for 16.67% of the $420 million portfolio of Invesco Private Capital, Inc..
MetroPCS Communications (PCS, Financial) MetroPCS Communications provides wireless communications services. Metropcs Communications Inc. has a market cap of $3.33 billion; its shares were traded at around $9.73 with a P/E ratio of 22 and P/S ratio of 1.2. Ross owns 3,577,873 shares as of 06/30/2009, which accounts for 11.31% of the $420 million portfolio of Invesco Private Capital, Inc..
Satyam Computer Services Limited (SAY) Satyam Computer Services Limited is a provider of information technology services in India. Satyam Computer Services Ltd. has a market cap of $3.81 billion; its shares were traded at around $6.62 with a P/E ratio of 4.1 and P/S ratio of 1.8. The dividend yield of Satyam Computer Services Ltd. stocks is 0.5%. Satyam Computer Services Ltd. had an annual average earning growth of 32.4% over the past 5 years Ross bought 1,844,927 shares in the quarter that ended on 06/30/2009, which is 1.36% of the $420 million portfolio of Invesco Private Capital, Inc..
Conclusion
From insurance companies to miner, from cellphone service provider to outsourcing IT firms, there is really no apparent theme is the kind of companies that Wilbur Ross owns. If you dig further, these companies all at times met some kind of trouble. Creating something new and of high value, is what Ross does the best.
GuruFocus provides real time information and insights of Investment Gurus such as Warren Buffett and Wilbur Ross for Premium Members. If you are not a premium member, click here to sign up or upgrade. 7-Day Free Trial is available. Also check out:
