Glencore Investor David Herro Sold Shares After Stock Double

  • David Herro trims holding in Glencore to about 6% from 8.5%
  • Glencore shares have rebounded this year as firm reduces debt

David Herro, one of the biggest investors in Glencore Plc, reduced his stake in the commodity trader and miner, locking in profits after the stock doubled this year.

The chief investment officer of Harris Associates LP, said he had to “re-position” his bet on Glencore after the rally. “We don’t own 8.5 percent anymore, but we probably own around 6 percent," he told Bloomberg Radio in an interview on Monday.

Harris was briefly the second-largest investor in Baar, Switzerland-based Glencore, overtaking Chief Executive Officer Ivan Glasenberg, who controls an 8.4 percent stake. The sovereign wealth fund of Qatar is the largest shareholder, with a 9 percent stake.

Glencore has rallied this year as Glasenberg rolled out a rescue plan to alleviate investor concern about its debt position. Herro added to his stake in Glencore when prices were near an all-time low for the company, which went public in 2011, and said in a February interview that his holding had recently risen to 8.5 percent.

The stock fell 2.2 percent to close at 184.35 pence in London, valuing the company at $34.9 billion. The value of Glencore shares sold, about 2.5 percent of the company, would be worth $870 million at that price.

A spokesman for Glencore declined to comment.

Peter Grauer, the chairman of Bloomberg LP, is a senior independent non-executive director at Glencore.

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