Greenlight Drops Seeking Alpha Suit After Blogger Identified

Photographer: Matthew Staver/Bloomberg

Greenlight Capital Inc. said in a November filing with the Securities and Exchange Commission that it purchased 23 million shares of Boise, Idaho-based Micron Technology Inc., a maker of memory chips, in the third quarter. Greenlight had asked that the agency not publicly identify Micron as the investment in question. Close

Greenlight Capital Inc. said in a November filing with the Securities and Exchange... Read More

Close
Open
Photographer: Matthew Staver/Bloomberg

Greenlight Capital Inc. said in a November filing with the Securities and Exchange Commission that it purchased 23 million shares of Boise, Idaho-based Micron Technology Inc., a maker of memory chips, in the third quarter. Greenlight had asked that the agency not publicly identify Micron as the investment in question.

Hedge-fund manager David Einhorn’s Greenlight Capital Inc. said it identified a contributor to the website Seeking Alpha who allegedly disclosed the fund’s stake in Micron Technology (MU) Inc. before it was public, the firm said in a statement.

Greenlight “has resolved the matter privately,” Jonathan Gasthalter, a spokesman for the firm, said in an e-mailed statement today. Greenlight also asked a New York state judge to discontinue its lawsuit, according to a court filing.

Greenlight had claimed that the website wrongfully disclosed trade secrets and breached confidentiality provisions. The hedge fund said in a November filing with the Securities and Exchange Commission that it purchased 23 million shares of Boise, Idaho-based Micron, a maker of memory chips, in the third quarter. Greenlight had asked that the agency not publicly identify Micron as the investment in question.

A frequent contributor to the website, identified only as “Valuable Insights,” revealed the investment in a post on Nov. 14, before Greenlight disclosed its position to the SEC, the firm said in a petition filed in February in Manhattan.

“We’re happy Greenlight is no longer pursuing the case,” Eli Hoffmann, editor-in-chief of Seeking Alpha said in an e-mailed statement. “This is not the first demand we have had to disclose pseudonymous authors’ identities; we have yet to disclose author identity in any claim submitted to court.”

The case is In the Matter of the Application of Greenlight Capital Inc., 151327/2014, New York State Supreme Court, New York County (Manhattan).

To contact the reporter on this story: Christie Smythe in Brooklyn at csmythe1@bloomberg.net

To contact the editors responsible for this story: Michael Hytha at mhytha@bloomberg.net David E. Rovella

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.