Tiger Global’s next big thing: potatoes
After a year can be described as a omnishamblesChase Coleman is desperately trying to tap Tiger Global’s explosive technology stock portfolio and cap the record number already on the books. Loss 50% in its flagship fund this year.
Latest 13F filed a prescribed application revealed that in the second quarter of the year, they completely phased out Robinhood, Zoom, and DocuSign, and hit back at locations like Coinbase, Carvana, Snowflake, and DoorDash.
Tiger Global’s overall public equity ratio for the stock is now down to $11.9 billion, according to 13F dropped on Monday. At the end of 2021, it stands at almost 46 billion dollars.
The time of the fire was sold. . . unfortunately, as many of these stocks actually rebounded in July. Robinhood alone is now up more than 35% since the end of the second quarter. Carvana’s stock has more than doubled over the same period.
But for FTAV, the most exciting new move is the addition of a $12.8 million position in a small company called Lamb Weston.
Eagle, Lamb Weston based in Idaho is one of the world’s largest producers of frozen potato products, like the fries you can find in your local supermarket. It was once owned by ConAgra, until it was spun off and listed in 2016, and is now valued at nearly $12 billion.
Trivia fans can appreciate that Lamb Weston invented the water gun knife technique that has revolutionized the potato chip industry since the 1960s.
Despite being so devoted to what the company calls “Potatovation,” Lamb Weston seems like an odd investment for a large hedge fund focused entirely on fancy tech bets.
We searched the site for any mention of machine learning, leveraging blockchain, quantum computing, or big data, but it really seems to be dedicated to shipping large amounts of chips. Frozen (Average 80 million servings per day). Perhaps simplicity is what attracts Tiger, as Bucco Capital noted on Twitter.
So glad that Tiger Global bought Lamb Weston Q last year
You can imagine the convoy:
Chase: We’re getting shot! The next person who introduces a cloud stock will be thrown out the damn window. What is the opposite of the cloud? “
– Bucco Capital (@buccocapital) August 16, 2022
FTAV suspects that it is simply a small but potentially potent inflation hedge for Tiger, something that could help counter some pain elsewhere if inflation continues to weigh on the portfolio. their private.
But given the still enormous size of its positions in many unprofitable tech companies, it will require a larger $13 million potato bet.