Just Don't Call Him A Raider

Carl Icahn gets in a war of words over whether he is a raider or an activist shareholder. He zeroes in on private equity firms and claims that they are the new raiders.

hese days the 71-year-old has found a new bogeyman: private equity investors.

In a twist of logic that might baffle those who know his history, Icahn, the raider turned self-styled "shareholder activist," says it's the private equity investors who are today's raiders. They go after companies with mounds of cash and undervalued assets, then rip them apart and enjoy the spoils. How different is that from Icahn? Not much. But for Icahn, who will likely wage four or more proxy battles this spring, it's enough. "Cash is a great asset," he says. "But if private equity inventors get their hands on it, they'll reap the benefit instead of the shareholder." And Icahn? When he goes after a company, most often it stays public, and he says shareholders who take the ride with him gain from his activism.