Paul Singer Provides Update On 'Hidden Gem' Fondul Proprietatea

Paul Singer Hidden Gem - How To Make A Quick Buck by Jan Martínek

Fondul Proprietatea, the largest closed end fund in the world, has been under pressure from activist investors. The largest shareholder in this Romanian energy fund is Paul Singer's Elliot Associates, who has 15.2% stake in the fund valued at USD 550 mil. It is Paul Singer's third largest position.

In September, shareholders passed a resolution in which the Franklin Templeton faces termination of the management contract if the NAV discount does not decrease to 15% (from current 25%) in two thirds of trading sessions between October 1, 2014 and June 30, 2015. To comply with this, the Fondul share price needs to rice another 13% to 1.07...