ValueAct Capital


ValueAct Capital is a San Francisco-based investment company with a portfolio value calculated at about $9.269 billion on behalf of several institutional and individual investors. The company is a privately owned hedge fund sponsor that provides its services to high net worth individuals and institutions. It invests in the public equity markets.

Background

ValueAct Capital was initially formed in June 2000 to manage the capital of its founders, along with the capital of a limited number of outside investors.

Investor Actions

ValueAct Capital is a very active investor that identifies companies that appear to be out of favor, or may be undergoing a significant transition. ValueAct makes a significant investment into the company and then works with the company to make changes with goal of increasing long-term stock value and thus creating a profit for ValueAct.

Microsoft (2013)

In May 2013 ValueAct Capital revealed that it had purchased $2 billion worth of Microsoft stock. Shortly thereafter the company made public announcements that it sought to join the board of Microsoft if the company did not increase its stock price through a stock buy back program or a larger dividend. The threat was seen as one of the reasons that Steve Ballmer decided to leave Microsoft.