Kerkorian says he will take a hands-off approach if Ford approves 20 million share deal
05/13/2008, 3:10 PM
By Drew Johnson
Kirk Kerkorian — the man who is trying to acquire an additional 20 million shares of Ford — may have taken an active role while he was an investor at General Motors and Chrysler, but the billionaire investor says he will take a hands-off approach with Ford. Kerkorian’s company — Tracinda Corp. — currently owns 100 million Ford shares.
The bump to 120 million shares will increase Tracinda’s stake to 5.6 percent ownership of Ford, which is usually good enough for a voice in the board room. However, Tracinda said in a filing that it has no intentions of influencing Ford’s business decisions. There is no “present intent to acquire or influence control over Ford,” Tracinda said in a filing with the Securities and Exchange Commission. “We are making the offer because we believe Ford is an attractive investment.”
However, in the same filing, Tracinda also said that it would closely monitor Ford’s performance and could suggest strategies from time to time. The company also indicated that it might also increase its Ford ownership in the future, according to The Detroit News.
Kerkorian also revealed that he has already explored the possibility of infusing the company with more cash to speed up its North American turnaround.
Ford’s board of directors is currently considering Kerkorian’s offer to purchase 20 million shares and will give him an answer by May 22.
05/13, 3:20 PM
posted by:
400horseSS
For a couple of months until the stock price moves.
05/13, 3:38 PM
posted by:
xyunya
Interesting move. With all respect, he did loose his shirt (or a sleeve) with Chrysler and GM. Third time charm. I wonder what class shares he is buying.
05/13, 3:38 PM
posted by:
HemiRoadRunner
Wouldn’t it be nice to be an ultra-rich prick and just buy millions of shares of a company you did not help build, and then tell them how to do business?
05/13, 3:41 PM
posted by:
RaineMan
Maybe he can tell them how to fix their car offerings. Ford can’t live on F-series and Mustang alone.
05/13, 4:08 PM
posted by:
injunraiv
Just what any car manufacturer needs, a bean counter who thinks he knows about cars taking the helm. Have we learned nothing from the George Steinbrenner debacle?
05/13, 4:18 PM
posted by:
tripleonefive
Dr Kevorkian ?
05/13, 4:29 PM
posted by:
Kenny W
In other news the Devil told me he’d take a hands off approach in my after-life if I’d sell him my soul.
05/13, 4:31 PM
posted by:
johnnycanuck
The mood in a room must just die when an old nut-dragger like him walks in. Yes I know, you don’t gain 90 years of experience without living that long, but we all know he’s playing this little game with Ford just for the power trip. I suppose that’s just another sh*tty part about old age. You get to the point where nothing much happens below the beltline anymore, so pretty much the only thing left to stroke is your ego.
05/13, 4:35 PM
posted by:
jumpoffit
well the devil owns 5% of me and wants to buy 10% more, god owns the rest and the devil promised not to influence any of my decisions in the coming years- but he might make some suggestions…
05/13, 5:47 PM
posted by:
VictorRaikkonen
Ford… at least they have circled the problem.
05/13, 5:49 PM
posted by:
DialM4Speed
Why ass wipes like this are allowed to do these things is beyond me!
05/13, 7:56 PM
posted by:
zoomzoomr
Ford has taken steps to fix the 2009 Focus coupe, apparently.. too bad LLN can’t take steps to fix the link to that story!
05/14, 8:42 AM
posted by:
Fletch
This deal will lose him money also. If he wants to make a buck in the auto industry, go to the growth regions, India, Eastern Europe/Russia. Small A-B econoboxes made with cheap labor and don’t have strict safety and emission requirements.
05/14, 10:25 AM
posted by:
jdasch1
Don’t trust him…he talks with fork’ed tongue! When he wants, he will sell everything in a heartbeat announcing a problem with Ford, then the stock will tank..he will make millions on a short position…big fat jerk liar!!