Pershing Square, L.P. Establishes 10b5-1 Trading Plan For A Portion Of Its Stake In The Howard Hughes CorporationBusiness Wire
NEW YORK–(BUSINESS WIRE)–Regulatory News:
Pershing Square, L.P. (“PSLP”) today has established a non-discretionary trading plan to sell a portion of its common stock in The Howard Hughes Corporation (NYSE:HHC) over a period of time that will end no later than November 30, 2018, in accordance with guidelines specified under Rule 10b5-1 of the Securities Exchange Act of 1934 (the “1934 Act”). None of the other Pershing Square funds are participating in the program as their HHC position is appropriately sized.
PSLP is selling shares in HHC for portfolio management purposes only. These sales do not represent a change in Pershing Square’s view that HHC remains an attractive long-term investment. Pershing Square continues to believe that HHC is substantially undervalued at its current share price.
The 10b5-1 program provides that PSLP will sell up to 875,000 shares at prices at or above $125 per share, and will be limited to a maximum of 9.8% of each trading day’s volume.
Assuming the 10b5-1 program is completed on or before its end date of November 30, 2018, it is expected that in total, the Pershing Square funds will beneficially own 3.1% of HHC. In addition, Pershing Square Holdings, Ltd., Pershing Square International, Ltd. and Pershing Square II L.P. will continue to own total return swaps on 4,229,933 million shares, or 9.8% of HHC. Assuming the 10b5-1 program is completed, the Pershing Square funds will then have total economic exposure, including common stock and total return swaps, of 12.9% of HHC.
In accordance with Section 16 of the 1934 Act, within two days of each day’s execution under the 10b5-1 program, Pershing Square will disclose that day’s trading in a Form 4 filing with the SEC. The initial Form 4 filing, in addition to potential sales under this program, will disclose the sale of a portion of a total return swap held by Pershing Square International Ltd., which was not part of the 10b5-1 program.
About Pershing Square Capital Management, L.P.
Pershing Square Capital Management, L.P. ("Pershing Square"), based in New York City, is a SEC-registered investment advisor to investment funds.
Pershing Square Capital Management, L.P.