market folly

David Einhorn's hedge fund firm Greenlight Capital has filed a 13D with the SEC regarding shares of CNX Coal Resources (CNXC).  Per the filing, Einhorn now owns 47.3% of the company with over 5.48 million shares.

The company recently IPO'd and is a master limited partnership (MLP) formed by CONSOL Energy (CNX).  Einhorn's firm owns a sizable stake in the latter as well.

Greenlight bought CNXS shares in the private placement at $15 and also in the open market at $15.05.

We've highlighted other recent portfolio activity from Greenlight here.

Per Google Finance, CNX Coal Resources is "a producer of thermal coal. The Company is formed by CONSOL Energy Inc. (CONSOL Energy) to manage and develop all of its thermal coal operations in Pennsylvania. Its initial assets include around 20% undivided interest in and operational control over, CONSOL Energy's Pennsylvania mining complex, which consists of around three underground mines and related infrastructure that produce bituminous thermal coal that is sold primarily to electric utilities in the eastern United States. Its Pennsylvania mining complex, which includes the Bailey mine, the Enlow Fork mine and the Harvey mine, has coal reserves. The Company mines its reserves from the Pittsburgh No. 8 Coal Seam, which is a contiguous formation of uniform, thermal coal. The Pennsylvania mining complex includes around 785.6 million tons of coal reserves with an average gross heat content of approximately 13,000 British thermal units per pound and an average sulfur content of around 2.38%."