market folly

Anand Desai's hedge fund firm Darsana Capital has revealed a stake in Social Capital Hedosophia Holdings (IPOA.U).  Per a 13G filed with the SEC, Darsana now owns 5.07% of the company with 3.5 million shares.

This is a new position for the firm as shares of IPOA.U were just floated recently.  Hedosophia is a vehicle used by Chamath Palihapitiya's Social Capital to invest in 'unicorn' private tech companies.  They're trying to create a new model for taking private companies public via this 'blank check' structure.

Prior to founding Darsana, Desai worked at Eton Park Capital.

Per Google Finance, Social Capital Hedosophia Holdings is "a blank check company. The Company is formed for the purpose of effecting a merger, share exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses. The Company seeks to focus on search for a target business operating in the technology industries. The Company had not identified any business combination target."