In a just published Form 13, filed with the US Securities and Exchange Commission (SEC), GDL Fund (NYSE:GDL) reported that Relative Value Partners Group, Llc. has picked up 2,463,949 of common stock as of 2017-07-07.
The acquisition brings the aggregate amount owned by Relative Value Partners Group, Llc. to a total of 2,463,949 representing a 13.5% stake in the company.
For those not familiar with the company, The GDL Fund (the Fund) is a diversified closed-end management investment fund. The Fund’s primary investment objective is to achieve absolute returns in various market conditions without excessive risk of capital. The Fund will seek to achieve its objective by investing primarily in merger arbitrage transactions and, to a lesser extent, in corporate reorganizations involving stubs, spin-offs, and liquidations. The Fund will invest at least 80% of its assets in securities or hedging arrangements relating to companies involved in corporate transactions or reorganizations, giving rise to the possibility of realizing gains upon or within relatively short periods of time after the completion of such transactions or reorganizations. It has investment in sectors, including financial services, energy and utilities, semiconductors, food and beverage, healthcare, and cable and satellite. The Fund’s advisor is Gabelli Funds, LLC.
A glance at GDL Fund (NYSE:GDL)’s key stats reveals a current market capitalization of $183.10 Million based on $18.07 Million outstanding and a price at last close of $10.20 per share.
Looking at insider activity, there are a few transactions worth noting.
Specifically, on 2017-05-11, Gabelli picked up 223 at a purchase price of $10.00. This brings their total holding to 37,000 as of the date of the filing.
On the sell side, the most recent transaction saw Melarkey unload 2,000 shares at a sale price of $9.77. This brings their total holding to 6,977.
It’s possible to gauge a company’s potential by tracking the activity of its major holders, as well as checking in on insider activity such as those transactions listed above. We’ll be keeping an GDL Fund (NYSE:GDL) as things move forward to see if its progress aligns with these transactions.
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