Alliance Capital Funds has cut their stake in Countrywide Financial Corp. from 10.7% to a mere 4.1% in just over a months’ time.
In an SEC Commission filing filed Monday, investors reported owning 23.8 million shares of beleaguered Countrywide.
A month earlier, the shareholders had reported ownership of 63.8 million shares, or 10.7% ownership of the company.
It’s believed that recent secondary market worries and general distress at the nation’s top mortgage lender have forced the large sale of shares.
Alliance Capital Management L.P. is a majority-owned subsidiary of AXA Financial Inc.
AXA reported its stake on a form 13G which means it’s a passive investor with no interest to influence or assume control.
Three weeks ago CEO Mozilo disclosed that he had sold 40 million shares of Countrywide stock in 2007 worth roughly $152 million.
Since the beginning of 2006, Mozilo has sold about $247.9 million worth of Countrywide shares.
Countrywide shares were trading down roughly one dollar, or five percent, hovering around $17.25 in midday trading.
Update: In a separate SEC filing, San Francisco-based investment bank Barclays Global Investors NA revealed that it had reduced its stake in Countrywide to 24.04 million shares, or roughly 4.1% of outstanding stock, down from 48.6 million shares, or 8.4% of outstanding stock as of June 30.