Odey Asset Management LLP is betting on Trinity Mirror Plc to decline after borrowing 3.26 percent of the newspaper company’s outstanding shares.
The London-based hedge fund founded by Crispin Odey borrowed stock valued at $15.2 million, data compiled by Bloomberg shows. Short-sellers bet that a stock will decline in value, usually by selling shares they borrow, then buying them back at a lower price.
Trinity Mirror, publisher of the U.K.’s Daily Mirror newspaper, has seen its share price more than triple in the past year after cutting editorial positions and streamlining newsroom operations. Simon Fox, formerly head of HMV Group Plc, succeeded Sly Bailey as chief executive officer in September.
Trinity Mirror shares were down 0.4 percent at 120.5 pence as of 12:16 p.m. in London, giving the company a market value of 310.5 million pounds ($462 million).
Crispin Odey couldn’t be reached for comment today. A spokesman for Trinity Mirror wasn’t available for comment.
News of Odey’s short-selling was previously reported in the Sunday Times.
Trinity Mirror said in August it was “moving in the right direction in driving profitability” and was considering when it might pay a dividend. The last payment was in 2008.