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Mudrick Hedge Fund Takes 20% Writedown on His Big Vaping Bet (1)

Jan. 14, 2020, 9:02 PM

Jason Mudrick, the hedge fund manager who owns a large stake in one of the biggest players in the U.S. vaping market, wrote down the value of his position by 20%, according to an investor.

That would imply a $1.7 billion valuation for the e-cigarette company NJOY Holdings Inc., down from more than $2 billion last year. Even with the writedown to one of its largest positions, Mudrick’s Distressed Opportunity fund returned 22% last year, the person said, asking not to be identified because the information isn’t public. The fund’s winners included a short wager on the credit of...

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