Shares of retailer Sears got pummelled on a Bloomberg News’ report that a “medium sized” vendor had halted shipments.
The stock was last trading down 15% at about $US25.72 per share.
This is more bad news for billionaire hedge fund manager Eddie Lampert.
Lampert — who runs Florida based ESL Investments and is the chairman/CEO of Sears — has spent years trying to turnaround the beleaguered big-box retailer.
Lampert is also the largest individual shareholder the retailer. So far, the investment has been a disaster.
According to data compiled by Bloomberg, Lampert last personally held 25,226,096 shares, or about 23.69% of the company’s stock.
That means Lampert has lost about $115.5 million on his Sears investment since yesterday’s close.
RBS Partners, which is managed by ESL Investments, last held 26,438,272 shares, or 24.83 per cent, data compiled by Bloomberg shows.
Since yesterday’s close, the fund’s stake has lost $121.08 million, according to our calculations.
Here’s a chart of the stock from around the time of the completion of the Sears/Kmart merger in 2005: