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Activist investor Starboard Worth has taken a 6.5% stake in GoDaddy, sparking a rally in inventory of the net providers firm.
The hedge fund purchased greater than 10,000 shares of GoDaddy, price about $800 million, in response to a regulatory submitting. The brand new stake turned the most important holding for Starboard.
Shares of GoDaddy jumped greater than 8% on the information Monday.
The inventory is flat on the yr at the same time as the corporate has skilled a surge in on-line visitors amid the Covid-19 pandemic.
The Wall Street Journal first reported Starboard’s stake.
Starboard Worth and GoDaddy didn’t instantly reply to CNBC’s requests for remark.
Starboard Worth’s CEO, Jeff Smith, has been a prolific activist investor even in the course of the pandemic as he pushed for modifications in firms throughout the veterinary, chemical compounds and health-care industries.
Starboard Worth manages about $6.2 billion in property, in response to filings by means of the primary quarter of 2020. Smith spun the New York-based hedge fund out of funding agency Ramius in 2011.
— CNBC’s Jesse Pound contributed reporting.