Shares of hedge fund favorite Apple jumped about 1.65
percent, to close at a new historical high of $179.10, after
the consumer technology company said it will invest more than
$30 billion in capital expenditures over the next five years
and create over 20,000 new jobs. It also plans to open a new
campus in a new location, which will initially house technical
support. Apple said it plans to announce the location of the
new facility later in the year. More than $10 billion of the
additional capital expenditures will be investments in data
centers across the US. Apple also said it is currently
breaking ground on a new facility in downtown Reno, which will
support its existing Nevada facilities.
"Apple’s direct contribution to the U.S.
economy will be more than $350 billion over the next five
years, not including Apple’s ongoing tax payments,
the tax revenues generated from employees’ wages
and the sale of Apple products," Apple states in its press
release. Apple also said it expects to make repatriation tax
payments of about $38 billion related to the new tax law, which
it estimates will be the largest ever made. At the end of the
third quarter, Apple was the fifth-most widely held stock among
hedge funds, with at least 219 firms
reporting a position, according to Novus. However, this was 50
fewer funds than in the previous quarter, according to the data
Activist hedge fund firm Starboard Value and comScore reached an
agreement on a new financing arrangement. Under the deal, the
audience measurement company will issue $150 million in
convertible notes to Starboard in exchange for $85 million in
cash and $65 million of comScore stock. Starboard also has an
option to acquire another $50 million in convertible notes.
Starboard also received warrants that would allow it to
purchase 250,000 shares of stock.
"These financing arrangements provide the company with
financial and strategic flexibility, while also providing
shareholders the opportunity to participate in the future
financing, and are in the best interests of the company and its
shareholders," comScore states in a press release.
In September 2016 comScore announced it would restate its
financials going back three years after its audit committee
identified revenue recognition errors.
In Wednesday’s announcement, the company said
it expects to complete the audit of its financial statements
for 2015, 2016, and 2017 by the end of the first quarter. At
the end of the third quarter of 2017, comScore was
Starboard’s fifteenth-largest position after the
firm sliced its stake by nearly one-third, according to its
quarterly regulatory filing detailing U.S. long stock