Fairholme Boosts Stake in St. Joe; Both Stocks Rise
Fairholme Capital is increasing its stake in the Florida real estate developer St. Joe, six months after its founder was named chairman of the board.
St. Joe disclosed in a regulatory filing Friday that it entered a stockholder deal with its biggest shareholder, Fairholme Funds , and Fairholme Capital, that will allow it to boost its ownership stake to up to 50 percent. Fairholme had been approved to buy up to a 30 percent stake previously.
Bruce Berkowitz, the founder of Fairholme Capital Management LLC, became St. Joe's chairman in March.
St. Joe also announced in the SEC filing that private investor Jeffrey Keil is now a board member.
St. Joe's, based in Jacksonville, Fla., suffered massive losses during the real estate downturn.