That reduces the exposure if the shares continue to rise - something they’ve been doing for most of the past five years.
“Less downside, more upside,” Ackman said. The bet against Herbalife now accounts for just 3 percent of the firm’s capital, he said.
The move brings a new wrinkle to a saga that began in late 2012, when Ackman announced a $1 billion bet against the company and called it an illegal pyramid scheme. His campaign against Herbalife has included spending millions to investigate the business, which prompted a federal investigation. Ackman also was featured in a documentary film.
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