Shares of Herbalife soared higher on Monday after news revealed that Cal Icahn had bought more shares of the company.
Last week hedge fund manager Bill Ackman, who has been a long time shorter of Herbalife, revealed to SquawkBox that Icahn may be wanting to sell his shares now beause “he’s made a bunch of money” and that “he knows this is toast.”
According to Ackman, Icahn “came to me” through investment bank Jefferies Group with a proposal in early August to “cover my short” position.
Icahn told CNBC late Friday that he bought 2.3 million Herbalife shares.
Herbalife shares are up 3.3% to $62.52 for year-to-date gains of 17%.
Disclaimer: We have no position in Herbalife Ltd. (NYSE: HLF) and have not been compensated for this article.