Bill Ackman Ends His Public Battle with Herbalife

Billionaire investor William, or Bill, Acman, made a huge bet years ago that Herbalife would sink.

It was six years ago that the activist investor bet $1 billion that the nutritional supplement company would hit zero and said that the company was a fraud.

Many were surprised to learn this week that his Pershing Square Capital Management is no longer against Herbalife. This may have been a smart move considering that since Ackman’s firm shorted the stock it went up instead of down. It is unknown what his total loss is on his wager against Herbalife.

Instead Ackman is now building a position instead in United Technologies Corp. Ackman has not said when he started buying shares of the stock.

It was earlier this year in January that Ackman said he was also making a bet on sport retail apparel company Nike.

It was this week that Herbalife said it was planning to change its corporate name. The company also intends to refinance debt and effect a 2-for-1 stock split to boost shareholder returns. Shares hit an all-time high after the developments were announced.

Disclaimer: We have no position in Herbalife Ltd. (NYSE: HLF) and have not been compensated for this article.