Bill Ackman Bought A Big Stake In This Restaurant Chain

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Billionaire activist investor, William Ackman, revealed in a regulatory filing late on Tuesday that his hedge fund Pershing Square has bought a 9.9 percent stake in Mexican food chain Chipotle Mexican Grill Inc. This comes to 2.9 million shares of ownership in the company.

The regulatory filing said the company’s shares, which closed at $414.07 on Tuesday, were undervalued and that he would be speaking with management.

Chipotle’s shares gained as much as 8.7% in extended trading after Ackman disclosed ownership.

Disclaimer: We have no position in Chipotle Mexican Grill, Inc. (NYSE: CMG) and have not been compensated for this article.