Blue Harbour Group LP
Last Updated: 12/3/2020
Blue Harbour Group LP is a Limited Partnership that started in 2004 and is primarily owned and controlled by Clifton S. Robbins.
As described by Blue Harbour, the firm pioneered and employs an exclusively collaborative approach to Active Ownership, working with the management teams of high-quality, undervalued public companies to build and unlock shareholder value over a multi-year investment horizon. As a successful activist fund, Robbin's takes the approach known to some as "friendly activism", in which the fund builds a position in a company and works with that company to increase shareholder value, as opposed to a more aggressive stance covered by other activist investors.
Blue Harbour applies a “private equity approach” to investing in the public markets. The strategy is executed by a team of senior professionals deeply engaged in identifying and sourcing investment ideas, developing relationships with executive management teams and Boards of Directors and making investment decisions on a consensus basis. The team’s combined intellectual capital and experience have provided Blue Harbour with a distinguished reputation as a constructive long-term shareholder and committed partner.
In Februrary of 2020, Robbins announced that he would close Blue Harbor, establishing a family office and returning cash to his investors.
Blue Harbour Group LP operates out of an office in Greenwich, CT. Based on the Form ADV filed on 2020-03-13 00:00:00, the investment firm is comprised of 21 employees, only 8 of whom performs investment advisory functions.
- Name: Blue Harbour Group LP
- CRD No: 154768
- Filing Recorded: 2020-03-13 00:00:00
- Year of Origin: 2004
- Employees: 21
- Clients: 15
- AUM: 2,207,325,255
- Management Fee: Unknown Percent
- Performance Fee: Unknown Percent
- Client Type: Pooled Investment Vehicles, State or Municipal Government Entities
- Assets Traded: Exchanged-Traded Equity Securities, Cash and Cash Equivalents
- Website: https://www.bhgrp.com/
- Email: Unknown
- Telephone: 203-422-6540
- Address: 646 Steamboat Road, Greenwich CT 06830
According to the brochure submitted to IAPD, Blue Harbours investment strategy is as follows:
The investment strategy principally employed by Blue Harbour in managing Advisory Client accounts involves investing primarily in publicly-traded equities and equity-like securities of U.S. and Canadian companies believed by Blue Harbour to be undervalued by the public securities markets. Its investment strategy also involves Blue Harbour often seeking to be a significant minority shareholder in portfolio companies. Blue Harbour estimates that there are several thousand U.S. and Canadian listed companies whose stock market capitalization falls within the $1 billion to $10 billion range which Blue Harbour has identified as the likely universe of potential investment targets.
Blue Harbour takes a private equity approach to public market investing and seeks to deliver superior returns through a value-oriented investment strategy focusing on companies that are (or should be) implementing strategic change.
Blue Harbour focuses on identifying companies that it believes to be fundamentally undervalued and seeks to enhance returns by identifying and suggesting initiatives to create value. Blue Harbour also invests in companies undergoing an event precipitated by the company itself or by third parties, such as takeovers, significant management changes, changes in strategic direction, acquisitions, divestitures, mergers, liquidation procedures, recapitalizations or balance sheet restructurings. Blue Harbour may also make investments in industry consolidation and acquisition strategies, busted deals, orphaned equities, and other situations.
Blue Harbour may also invest in equity or total-return swaps, foreign exchange forward contracts or other notional principal or derivative contracts in order to pursue its investment strategy on behalf of Advisory Clients. In addition, Blue Harbour may also make investments that are subject to legal or contractual restrictions on transferability or are not readily marketable without impairment of value. Such investments, if made, will be designated as “Special Investments” and may be held on behalf of clients in a Special Investment sub-account or “sidepocket.” Uninvested cash may be placed in bank accounts, money market mutual funds or in a prime brokerage account.
Methods of Analysis
In addition, Blue Harbours methods of analysis include:
All investment ideas for Blue Harbour’s Advisory Clients are generated by Blue Harbour’s investment team through bottom-up research with significant emphasis on fundamental analysis. The investment team undertakes extensive due diligence on proposed investments, including meetings with management of proposed portfolio companies. Such due diligence will include an analysis of environmental, social and governance (“ESG”) issues. Blue Harbour uses a number of sources of data to evaluate investment ideas, including news services, such as Bloomberg, CapitalIQ and other industry news journals and services and other industry sources.
Blue Harbour’s research process is driven by two main factors--value and the opportunity to play an active role. Blue Harbour conducts proprietary research in order to identify companies with substantial value that is not being reflected in the market place. Our target portfolio companies generally have either significant hard assets (i.e. real estate, cash, energy assets, timberlands, etc.) or long-term sustainable levels of free cash flow (EBITDA less cash taxes and capital expenditures). Blue Harbour seeks to enhance returns by recommending strategies to portfolio company managements and boards to create and unlock value. We seek to identify companies where we can recommend initiatives to enhance value within a company’s business strategy, capital structure, corporate governance, or operations.
Top 10 Holdings from Form 13F
Reporting Period: 09/30/2020
Historical 13F Filings
EdgeGiant has compiled all 13F filings since Q2 2013 for your convenience. You can view historical portfolio position forBlue Harbour Group LPin our 13F section HERE.
To get the comprehensive list of holdings that fall under 13F regulatory guidelines, check out our write up on how to access and use 13Fs in your personal investment decisions.