NEW YORK, Sept 30 J.C. Penney Co Inc
shareholder Perry Corp has cut its stake in the retailer by more
than half to 3.28 percent, a regulatory filing showed Monday.
The hedge fund firm, run by Richard Perry, had earlier
reported a stake of 8.62 percent as of Aug. 30, according to a
filing with the U.S. Securities and Exchange Commission.
Shares of the U.S. department store chain have fallen more
than 15 percent since Friday, the day after the company
announced it was issuing almost $1 billion in new shares to
shore up its cash reserves.
Penney said the 84 million shares in the offering had priced
at $9.65 each.
The retailer, in a sign of how it is struggling, reported in
August that sales at stores open at least a year fell 11.9
percent in the prior quarter.
In an earlier regulatory filing, Perry said he wanted
Penney's board to replace its interim chief executive, Myron
Ullman, with Ken Hicks, the chief executive of Foot Locker Inc
Along with Perry Corp, hedge fund managers Kyle Bass of
Hayman Capital Management and Larry Robbins of Glenview Capital
Management have taken sizeable stakes in Penney of 5.2 percent
and 9.1 percent, respectively.
Penney shares were down 2.5 percent to trade at $8.82 at the
close of trading Monday.