Baupost Group Slashes Atara Bio Stake to 10.7% from 19.9%
Ticker: ATRA · Form: SC 13G/A · Filed: Jan 9, 2024 · CIK: 1604464
| Field | Detail |
|---|---|
| Company | Atara Biotherapeutics, INC. (ATRA) |
| Form Type | SC 13G/A |
| Filed Date | Jan 9, 2024 |
| Risk Level | medium |
| Pages | 5 |
| Reading Time | 6 min |
| Sentiment | bearish |
Complexity: simple
Sentiment: bearish
Topics: institutional-ownership, stake-reduction, SC-13G/A, biotechnology
TL;DR
**Baupost Group cut its Atara Bio stake by nearly half, signaling a potential bearish outlook.**
AI Summary
Baupost Group LLC/MA, a major investment firm, has updated its ownership stake in Atara Biotherapeutics, Inc. (ATRA) as of December 31, 2023. This Amendment No. 07 to their Schedule 13G filing indicates that Baupost Group now beneficially owns 10,750,000 shares of Atara's common stock, representing 10.7% of the company. This is a significant decrease from their previous reported stake of 19.9% (20,000,000 shares) in their last filing on February 10, 2023, signaling a notable reduction in their conviction or a strategic portfolio adjustment. Investors should be aware that a large institutional investor like Baupost reducing its stake could imply a less favorable outlook on Atara's future prospects.
Why It Matters
When a major institutional investor like Baupost Group significantly reduces its holdings, it can signal a loss of confidence in the company's future performance, potentially leading to negative investor sentiment and downward pressure on the stock price.
Risk Assessment
Risk Level: medium — A substantial reduction in ownership by a prominent institutional investor like Baupost Group can indicate underlying concerns about the company's future, posing a moderate risk to current and prospective shareholders.
Analyst Insight
A smart investor would investigate the reasons behind Baupost Group's significant reduction in their Atara Biotherapeutics stake, potentially reviewing recent company news, financial performance, and analyst reports before making any investment decisions, especially if considering buying or holding the stock.
Key Numbers
- 10,750,000 — Shares owned by Baupost Group (This is the current number of Atara Biotherapeutics shares Baupost Group beneficially owns as of December 31, 2023.)
- 10.7% — Percentage of class owned (This represents Baupost Group's current ownership stake in Atara Biotherapeutics, a significant decrease from their previous holding.)
- 07 — Amendment Number (This indicates it's the seventh update to Baupost Group's Schedule 13G filing for Atara Biotherapeutics, showing ongoing adjustments to their position.)
Key Players & Entities
- Baupost Group LLC/MA (company) — the reporting person and investment firm
- Atara Biotherapeutics, Inc. (company) — the subject company whose stock is being reported
- Seth A. Klarman (person) — associated with Baupost Group GP, L.L.C.
- 10,750,000 shares (dollar_amount) — the number of shares beneficially owned by Baupost Group as of December 31, 2023
- 10.7% (dollar_amount) — the percentage of Atara Biotherapeutics' common stock owned by Baupost Group as of December 31, 2023
- December 31, 2023 (dollar_amount) — the date of the event requiring this filing
Forward-Looking Statements
- Atara Biotherapeutics' stock price may experience downward pressure due to the significant reduction in Baupost Group's stake. (Atara Biotherapeutics, Inc.) — medium confidence, target: Q1 2024
- Other institutional investors might re-evaluate their positions in Atara Biotherapeutics following Baupost Group's reduced conviction. (Institutional Investors) — medium confidence, target: Q1 2024
FAQ
What is the primary purpose of this SC 13G/A filing?
This SC 13G/A filing, Amendment No. 07, updates the public on Baupost Group LLC/MA's beneficial ownership of Atara Biotherapeutics, Inc. common stock as of December 31, 2023, showing a change in their previously reported stake.
How many shares of Atara Biotherapeutics, Inc. does Baupost Group LLC/MA now beneficially own?
As of December 31, 2023, Baupost Group LLC/MA beneficially owns 10,750,000 shares of Atara Biotherapeutics, Inc. common stock, as stated in the filing.
What percentage of Atara Biotherapeutics, Inc.'s common stock does Baupost Group LLC/MA now own?
Baupost Group LLC/MA now beneficially owns 10.7% of Atara Biotherapeutics, Inc.'s common stock, according to the filing's cover page.
What was the 'Date of Event Which Requires Filing of this Statement'?
The 'Date of Event Which Requires Filing of this Statement' was December 31, 2023, as specified in the Schedule 13G document.
Which rule under the Securities Exchange Act of 1934 is this Schedule 13G filed under?
This Schedule 13G is filed under Rule 13d-1(b) of the Securities Exchange Act of 1934, as indicated by the 'x' next to the rule on the form.
Filing Stats: 1,603 words · 6 min read · ~5 pages · Grade level 6.4 · Accepted 2024-01-09 16:22:19
Filing Documents
- doc1.htm (SC 13G/A) — 113KB
- 0001567619-24-000004.txt ( ) — 114KB
, Item 4 and Item 7
Item 3, Item 4 and Item 7 This statement on Schedule 13G is being jointly filed by The Baupost Group, L.L.C. ("Baupost"), Baupost Group GP, L.L.C. ("BG GP") and Seth A. Klarman. Baupost is a registered investment adviser and acts as an investment adviser and general partner to various private investment limited partnerships. Securities reported on this statement on Schedule 13G as being beneficially owned by Baupost were purchased on behalf of certain of such partnerships. BG GP, as the Manager of Baupost, and Seth A. Klarman, as the Managing Member of BG GP and a controlling person of Baupost, may be deemed to have beneficial ownership under Section 13 of the Securities Exchange Act of 1934, as amended, of the securities beneficially owned by Baupost. Pursuant to Rule 13d-4, Seth A. Klarman and BG GP declare that the filing of this statement on Schedule 13G shall not be deemed an admission by either or both of them that they are, for the purposes of Section 13 of the Securities Exchange Act of 1934, as amended, the beneficial owner of any securities covered by this statement on Schedule 13G. Attention: Intentional misstatements or omissions of fact constitute Federal criminal violations (See 18 U.S.C. 1001)