Activist investor Dan Loeb pushes Cano Health to sell
Third Point, the hedge fund led by Dan Loeb, disclosed a 6.4% stake in Cano Health (NYSE: CANO) and is pushing for a sale process. Cano, a Miami-based primary care company focused on seniors, went public last year via a SPAC led by Starwood Capital's Barry Sternlicht.
Why it matters: This is the first major activist targeting of a company that went public in the recent SPAC boom. It's also something of an attack from inside the house, as Third Point was a small participant in the SPAC merger's $800 million PIPE.
By the numbers: Cano was acquired at an implied $4.4 billion valuation, but has seen its value cut by more than half in the public markets. Shares yesterday closed at $6.35.
The bottom line: Loeb is a first mover here, in terms of targeting an underperforming SPAC deal, but don't expect him to be alone for long.