Icahn Boosts ImClone Stake

He now owns 9.8% of the biotech company.
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Billionaire investor Carl Icahn took time out Tuesday

from trying to restructure

Time Warner

(TWX)

to announce he has increased his stake in biotech company

ImClone Systems

(IMCL)

to 9.8%.

Icahn's disclosure, in a filing with the

Securities and Exchange Commission

, means that he has become ImClone's second-largest shareholder behind

Bristol-Myers Squibb

(BMY) - Get Report

, which owns 17.1%. Icahn, who has bought and sold ImClone shares for several years, now owns 8.23 million shares through seven financial entities that he controls. His wife, Gail Golden, owns 15,000 shares.

The SEC filing says Icahn "may seek to influence" ImClone, thanks to the company's announcement last month that it has

hired an investment banking firm to explore strategic alternatives. Icahn said he "may, from time to time," contact the company to express his views on ImClone's business and operations.

Bristol-Myers Squibb, which has helped ImClone develop and market the colorectal cancer drug Erbitux,

says it isn't interested in buying ImClone. By late February or early March, ImClone expects to hear from the Food and Drug Administration on whether Erbitux may be used as a treatment for head and neck cancer.

In June, Icahn reported that

he had received permission from the Federal Trade Commission to buy between $100 million and $500 million worth of ImClone's shares. At the time, he owned just under 5 million shares, or 6% of the New York-based company. Icahn's latest SEC filing doesn't identify the dates or amounts of his latest ImClone stock trades. The value of his ImClone holdings is now $287.3 million.

By late afternoon, ImClone's shares were up 71 cents, or 2%, to $36.60.