Blackrock TCP Capital-Chefs Should be Worried!

Are Activist Hedge Fund Investors Planning Another Move on Blackrock TCP Capital?

Shares in Blackrock TCP Capital Corp (NASDAQ:TCPC) have been on a steady decline since the beginning of the year, but they took a particularly sharp dive on Monday after news broke that activist hedge fund investors are planning a move on the company.

The investors, who have not yet been publicly identified, are said to be unhappy with the company's performance and are believed to be considering a range of options, including a potential takeover bid.

Blackrock TCP Capital is a closed-end investment company that invests primarily in middle-market companies. The company has a market capitalization of approximately $1.5 billion.

Blackrock TCP Capital's Performance has been Underperforming

Blackrock TCP Capital's performance has been underperforming in recent years. The company's net asset value (NAV) has declined by more than 20% since the beginning of 2022.

The company's poor performance has been attributed to a number of factors, including the COVID-19 pandemic, rising interest rates, and the war in Ukraine.

Activist Hedge Funds Have a History of Success

Activist hedge funds have a history of success in taking on large companies. In recent years, activist hedge funds have successfully targeted companies such as Mondelez International, Kellogg, and Kraft Heinz.

If the activist hedge fund investors are successful in their move on Blackrock TCP Capital, it could have a significant impact on the company's share price and its future direction.

It is important to note that the news of the activist hedge fund investors' plans is still developing, and there is no guarantee that they will be successful in their move on Blackrock TCP Capital.