Moelis and Ackman have apparently known each other for years and even worked together on other activist campaigns, including one against The Procter & Gamble Company (PG)" class="ticker" target="_blank"> (PG) last year.
Other investors oppose Ackman
Shares of Herbalife Ltd. (HLF)" class="ticker" target="_blank"> (HLF) have more than doubled so far this year thanks to investments from major investors opposing Bill Ackman. Carl Icahn, Kyle Bass, Bill Stiritz, George Soros and Stan Druckenmiller have all poured money into Herbalife this year, betting that Ackman is wrong.
It has been about a year since Ackman publicly announced his $1 billion short of Herbalife, calling it a pyramid scheme and saying he believed the stock would go to zero. There were indications that Ackman moved to cover part of his short position over the last few months.
Meanwhile Ackman’s attacks on the nutritional supplements company have continued as he contacted the company’s new auditor PricewaterhouseCoopers and tried to push regulators into investigating Herbalife as a pyramid scheme. Ackman also made a new presentation against Herbalife Ltd. (HLF)" class="ticker" target="_blank"> (HLF) last month at the Robin Hood investors’ conference.