Carl Icahn speaks at Delivering Alpha in New York on September 13, 2016.
David A. Grogan | CNBC
Icahn, criticizes Occidental’s higher rating Chevron in a deal in May 2019 to buy Anadarko Petroleum with $10 billion in funding from Warren Buffetthad been campaigning for the ouster of CEO Vicki Hollub for nearly a year when Occidental’s shares tumbled in March 2020 – allowing Icahn to increase his stake to 10% from 2.5%, according to the Journal.
Now, Occidental’s stock is surging, more than five times in value since falling below $10 per share in 2020, largely thanks to the recent rise in oil prices. Its shares closed Friday at $56.15 per person; that’s right below where they were before the Anadarko deal was finalized, according to the Journal.
Icahn recently cut his position in Occidental and he sold the rest of it in recent days, according to a letter Icahn sent to Occidental’s board on Sunday. Two Icahn representatives on the Occidental board will also resign, the letter noted, at the request of a settlement agreement he contacted the company two years ago this month.
The magazine, citing sources “familiar with the matter,” reports that Icahn has received a profit of about $1 billion from his investment in Occidental. Buffett, meanwhile, bought Occidental recently. As of Friday, Buffett’s Berkshire Hathaway ownership report worth about 5 billion dollars of Occidental shares.
Icahn’s late was focused on smaller utility company Southwest Gas, according to the Journal. Last week, the energy company announced plans to spin off a subsidiary that Icahn had called for sale.
For more details, read the full Wall Street Journal report this.
