Icahn Enterprises L.P. jumps as Icahn enters plan with banks to untie loans to share price

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The loans were a red flag raised by short-seller Hindenburg Research in a May 2023 short report, which has driven shares down 40% since that time.

By alleviating concerns of forced stock sales to meet margin calls, this move by Icahn is expected to relieve pressure on the share price.

With an approximate ownership of 85% in the company, Icahn’s holdings accounted for a market value of $18 billion before the report, which later declined to $10.7 billion as of Friday. Around 60% of Icahn’s IEP shares were pledged as collateral for personal loans extended to him, prompting his lenders to request additional collateral as the stock experienced a decline.