Feature

Icahn or they can?

Minority shareholders are gearing up to take on Carl Icahn-owned Tenneco for undervaluing the Indian operations of Federal-Mogul

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Wall Street’s legendary activist-investor, Carl Icahn, has a reputation of investing in undervalued companies, later unlocking their value by either turning them around, or forcing the existing management to divest businesses or assets. Typically, the billionaire investor buys undervalued assets through his investment firm Icahn Enterprises and eventually sells them at a profit. Hence, it was not surprising to see Icahn selling his investment in the Michigan-based auto parts maker, Federal-Mogul, to Tenneco for $5.4 billion in April 2018. Icahn had first invested $1.1 billion in 2001 in the then-bankrupt Federal-Mogul through convertible bonds, and took it private last year.