Latest! Hillhouse Capital’s $7.6 billion overseas portfolio disclosed: $3.85 billion heavily invested in Chinese internet stocks; new positions added in hard-tech and pharmaceutical companies—with over half of the newly added stocks being pharmaceutical firms.

Tesla position unchanged Notably, in Hillhouse’s Q2 disclosure, the shareholding quantities in several companies remained unchanged—or changed only slightly—yet their market values surged dramatically, some even doubling. iQiyi, the second-largest holding in Q1, saw no change in share count in Q2, yet its market value jumped 30% to $1.083 billion, securing its place as the second-largest holding. Hillhouse held Tesla steady at 130,400 shares, yet its market value more than doubled. Similarly, Danish biopharma company Genmab (1.5 million shares) and U.S. biotech firm IGM Biosciences (350,000 shares) maintained unchanged positions, yet their market values rose by 60% and 30%, respectively. Sohu’s stake remained flat at 802,000 shares, yet its Q2 market value grew 47.83%. Sohu—previously mired in losses—reported a $11 million profit for Q2, which founder Zhang Chaoyang hailed as a pivotal turning point. 17 new major holdings added—nearly 60% are pharmaceutical firms; top gainer surged 881% 4 new tech stocks added: TSMC, GDS Holdings, Zhaoyan Network, etc. In Q2, Hillhouse added 17 new stocks, with a total market value of $310 million. The largest new holding is Taiwan Semiconductor Manufacturing Company (TSMC), engaged in R&D, manufacturing, and distribution of integrated circuit (IC) products. Since Q2—especially after June—TSMC’s stock soared nearly 65%. Biopharmaceuticals remain a core focus for Hillhouse. New pharmaceutical holdings totaled $175 million. Of the 17 newly added companies, 10 are biopharma firms—including Allogene Therapeutics, Legend Biotech, Novavax, and ADC Therapeutics SA. Notably, Novavax surged over 880% in Q2—a vaccine stock likely buoyed by intensifying U.S. pandemic conditions and cyclical speculation around vaccine-related themes. Tech firms also featured prominently among new additions. In Q2, YY Inc., GDS Holdings, and Zhaoyan Network all appeared on Hillhouse’s new holdings list. The combined market value of these four tech stocks stood at $27.846 million, with Q2 price changes of +55.73%, +40%, and −25.24%, respectively. YY Inc. is China’s largest internet voice platform provider; GDS Holdings is a leading Chinese high-availability data center infrastructure and service provider; and Zhaoyan Network specializes in cloud-based real-time audio/video transmission solutions for mobile devices. Consumer-related firms also entered Hillhouse’s new Q2 holdings—e.g., beverage company Pongquan Silanbao and Huazhu Group (a hotel chain). Reductions in Bilibili, JD.com, Vipshop, and Uxin—among other Chinese internet stocks Multiple pharmaceutical stocks reduced; SmileDirectClub and Snap dropped entirely from the portfolio Compared to Q1, Hillhouse reduced positions in 13 stocks in Q2. Among Chinese internet stocks, reductions were made in Bilibili, JD.com, Vipshop, and Uxin. Uxin saw the largest cut—4.25 million shares—leaving a remaining market value of $4.285 million. Uxin is a comprehensive service provider for used-car transactions in China, whose stock fell 21.5% in Q2.

Understanding U.S. Capital Markets Series – The Offense and Defense of Acquiring U.S. Companies (8): Shareholder Primacy

Starboard Value is a leading activist investor pushing for board refreshment; in Q1 2018, it secured 41 board seats. Shareholder activism in Europe remained robust in Q1 2018, accounting for approximately 29% of deployed capital and roughly 23% of initiated campaigns. The $7.2 billion deployed in new activist campaigns targeting European companies exceeded the prior-year figure, suggesting that 2018 may surpass 2017’s record activity. Elliott Management remains the most active global activist, while the UK is by far the most represented country. The influence of passive investors continues to grow: Vanguard, BlackRock, and State Street now collectively hold 18% of the S&P 500—up from ~14% in 2012. Growing attention to activist shareholders’ views has prompted companies to significantly expand their ESG (environmental, social, and governance) initiatives. BlackRock pledged to double the size of its ESG team, while Vanguard established a dedicated European management presence focused on ESG issues. ESG concerns have drawn intense scrutiny from passive investors, who are urging corporations to broaden their social investments within local communities. M&A remains a central focus: activist shareholders push for sales processes, intervene in announced deals, and compel breakups and divestitures. The interplay between activism and M&A is having a global impact—including Darwin Deason’s and Carl Icahn’s joint call for Fujifilm and Xerox to terminate their joint venture, and Sachem Head’s campaign urging UK-based Whitbread to spin off its Costa Coffee business. Figure 7-15: Overview of the Top 13 Global Activist Investors in 2018 (deploying >$500 million) In 2017, 108 activist investors launched 193 campaigns globally, deploying $62 billion—more than double the amount deployed in 2016. Campaigns targeting ADP, AkzoNobel, BHP Billiton, Credit Suisse, General Motors, Honeywell, Nestlé, NXP Semiconductors, and Procter & Gamble confirmed that industry champions and iconic firms alike are fair game for activists—no company is immune. Activist investors won an additional 100 board seats in 2017, bringing the five-year cumulative total to 551. Shareholder activism surged across Europe, driven both by prominent U.S.-based activists seeking relatively attractive valuation entry points abroad and by corporate strategic and operational actions aimed at enhancing shareholder value. Capital deployed in Europe rose to $22 billion in 2017—more than double the $10 billion average annual level seen between 2013 and 2016. High-profile proxy contests underscored the growing independence of large institutional investors—particularly index funds. The expanding influence of BlackRock, State Street, and Vanguard permeates corporate governance—from public statements by CEOs on investment stewardship principles to increasingly assertive stances on gender diversity and climate risk.

Novavax shareholder Shah Capital to step back from activist role

15 hours ago

Novavax major shareholder Shah Capital ends its activist campaign after restructuring into a family office, having recently sold millions of shares.

reuters

2026-10-16

Novavax shareholder Shah Capital to step back from activist role

Novavax shareholder Shah Capital to step back from activist role

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