Herbalife Attorney Lobs Threat at Ackman Team Over Research Tactics
In a FOX Business Network Exclusive, Charlie Gasparino has learned Herbalife's (NYSE:HLF) legal team is upping the pressure against hedge fund activist Bill Ackman.
The company's legal counsel sent a letter to Ackman's Pershing Square Capital Investment's outside research firm, OTG Research Group, demanding that they stop soliciting confidential, proprietary and privileged information from both current and former Herbalife employees. The letter cites Ackman and his campaign against Herbalife describing his research tactics as troubling and improper.
Shares of Herbalife (NYSE:HLF) jumped to a session high just ahead of the closing bell on Tuesday following Gasparino's report on FOX Business Network's Closing Bell. The shares have gained over 47% this year.
OTG Research Group is run by Aaron Smith-Levin who is noted among the investment community for his ability to conduct deep corporate research.
Ackman and Smith-Levin declined to comment.