"Tracking John Paulsons Paulson & Company Portfolio  Q2 2020 Update"
"John Paulsons 13F portfolio value increased from $2.62B to $3.13B this quarter.Paulson & Company's largest three positions are Bausch Health, Horizon Therapeutics, and SPDR Gold ETF.Bausch Health was increased while reducing Horizon Therapeutics and AngloGold Ashanti.This article is part of a series that provides an ongoing analysis of the changes made to John Paulsons 13F stock portfolio on a quarterly basis. It is based on Paulsons regulatory  filed on 08/14/2020. Please visit our  to get an idea of his investment philosophy and our  for the funds moves during Q1 2020.This quarter, Paulsons 13F portfolio value increased ~19% from $2.62B to $3.13B. There are 30 13F securities in the portfolio although only 24 of them are significantly large equity holdings (more than 0.5% of the 13F portfolio). The article is focused on the larger holdings. The top five positions are Bausch Health, Horizon Therapeutics, SPDR Gold ETF, BrightSphere Investment Group, & Takeda Pharma, and they add up to ~52% of the portfolio.John Paulson is best known for his highly leveraged bets against the real-estate bubble that netted him billions in the aftermath. To learn more about that, check-out the book . Last month, Paulson announced that they are returning all outside money and are converting to a Family Office structure.Note: Paulson & Company is known to have a huge position in Fannie/Freddie (FNMA) (FMCC) although the details have not been disclosed.Stake Disposals:Allergan plc (AGN): The original AGN stake was built during the four quarters thru Q2 2015 at prices between $202 and $313. In Q4 2015 there was an about-turn: ~75% selling over the next two years at prices between $192 and $320. H2 2018 also saw a ~18% selling at prices between $131 and $192. There was an about-turn in Q2 2019: ~45% stake increase at prices between $116 and $168. Next quarter saw another ~30% stake increase at prices between $156 and $170. In May, AbbVie (ABBV) closed the transaction for Allergan (cash-and-stock deal - $120.30 cash and 0.8660 shares of ABBV for each AGN held) announced last June.Sprint (S): Sprint was a 1.67% of the portfolio position built last year at prices between $5.20 and $8. It was a merger arbitrage stake. In January, the terms of the merger with T-Mobile was adjusted: one share of T-Mobile (TMUS) for every 11 shares of Sprint compared to 9.75 shares agreed previously. The transaction closed in May.Tech Data Corp (TECD): TECD was a small ~1% merger-arbitrage stake established in Q4 2019. The position was increased by ~50% last quarter. Apollo Global (APO) agreed to acquire TECD in a $130 per share transaction announced last November. The deal closed in June.New Stakes:TD Ameritrade (AMTD) and Qiagen NV (QGEN): These two are new merger-arbitrage stakes established this quarter. Charles Schwab (SCHW) is buying TD Ameritrade in an all-stock deal (1.0837 shares of Charles Schwab for each TD Ameritrade share held) announced last November. SCHW currently trades at ~$35 and AMTD at ~$38. Thermo Fisher Scientific (TMO) had an agreement to acquire Qiagen NV for 43 Euros per share but that offer was terminated as Qiagen shareholders rejected the amended offer (the original offer was 39 Euros). Thermo Fisher received a reimbursement payment of $95M cash as per the terms of the acquisition agreement. Qiagen currently trades well above the amended offer price at $52.21 per share.Stake Decreases:Horizon Pharmaceuticals (HZNP): The top three 12.24% HZNP position was purchased in Q2 2017 at prices between $9.65 and $15.75 and increased by ~40% in Q4 2017 at prices between $13 and $15. There was a ~23% stake increase in Q3 2019 at prices between $23 and $28. The stock is now at $73.17. This quarter saw a ~16% selling at prices between $30 and $57. Paulson is starting to harvest gains.Takeda Pharma (TAK): The large (top five) 6.58% TAK stake came about as a result of Takedas Shire plc acquisition in a cash-and-stock deal ($90.99 cash and 5.034 shares of TAK for each share of SHPG held). Paulson had a ~10% portfolio stake in Shire plc for which he received these shares after that transaction closed in January. Takeda currently trades at $18.86. This quarter saw a ~13% trimming.AngloGold Ashanti (AU): AU is a 6.57% position. It is a long-term stake that has been in the portfolio since 2009. Q4 2015 had seen a ~9% trimming while the following quarter saw a one-third reduction at prices between $7 and $14. Q2 2016 saw another ~20% reduction at prices between $13 and $18. The stock is currently at $29.53. Last two quarters have seen a ~45% reduction at prices between $14 and $30. Paulson is harvesting gains.Novagold (NG): NG is a 6.52% of the portfolio long-term stake established in 2010. Q2 2016 saw a ~28% reduction at prices between $5 and $6.50 and that was followed with a ~13% selling in Q4 2016. Last quarter saw a ~15% stake increase at prices between $5.87 and $9.51 while this quarter saw a ~12% trimming at prices between $7.40 and $12. The stock is currently at $9.44.Note: Paulson has a high cost-basis on NG and controls ~7% of the business.Mylan Inc. (MYL): MYL stake is now at ~6% of the portfolio. The original stake was purchased in Q1 2010 at prices between $17 and $23. Last significant buying was in Q2 2015: ~50% increase at prices between $58 and $76. 2017 & 2018 had seen a ~50% selling at prices between $30.50 and $47. The stock currently trades at $16.19. This quarter saw a ~4% trimming.Discovery Communications (DISCA): DISCA position saw a 320% stake increase in Q1 2018 at prices between $21.50 and $26.50. That was followed with a ~140% further increase next quarter at prices between $21 and $24. Last two quarters have seen a ~37% reduction at prices between $18.25 and $32.75. DISCA currently trades at ~$22 and the stake is now at 4.25% of the portfolio.Note: Libertys John Malone said in an interview last October that he believes Discovery shares are dramatically undervalued  he has been buying shares all the way from the teens to ~$28 per share.Dish Network (DISH): DISH is a ~4% portfolio position established in Q1 2017 at prices between $58 and $64. Q2 & Q3 2017 saw a combined ~36% stake increase at prices between $52 and $66. The stock is currently well below the low end of those ranges at $34.36. This quarter saw a ~27% selling at prices between $18.70 and $37.30.Pacira Biosciences (PCRX): The ~2% PCRX stake was built in Q2 & Q3 2019 at prices between $35.50 and $48 and it is now at $62.67. There was a ~25% reduction this quarter at prices between $31 and $53.ViacomCBS (VIAC): Paulson had a small ~1% of the portfolio stake in Viacom as of Q3 2019. Following the ViacomCBS merger transaction, they increased the stake substantially at prices between $35.50 and $42.75. The stock currently trades well below that range at ~$27. The position was reduced by ~75% during the quarter at prices between $12.40 and $28.50. The stake is now at 1.17% of the portfolio.TIM Participacoes (TSU): TSU is a 0.52% portfolio stake first purchased in Q2 2014 at prices between $24 and $30. Recent activity follows. Q3 2019 saw a ~25% selling at prices between $14 and $16.40. Last quarter saw another ~55% selling at prices between $11.75 and $20. That was followed with a ~25% selling this quarter at prices between $10.50 and $15. The stock is currently trading at $13.54.Stake Increases:Bausch Health Companies (BHC) previously Valeant Pharmaceuticals: BHC position was increased by almost 300% in Q1 2015 at prices between $143 and $205 and another ~340% the following quarter at prices between $197 and $242. Q4 2015 also saw a ~50% increase at prices between $70 and $182. The aggressive buying against falling prices continued in Q2 2016: ~44% increase at prices between $19 and $36. This quarter saw another ~25% stake increase at ~$16.50 per share. The stock currently trades at $17.33 and the stake has become the largest position in the portfolio at ~15%. For investors attempting to follow, BHC is a good option to consider for further research.Kept Steady:SPDR Gold Trust (GLD) and International Tower Hill Mines (THM): A huge stake in GLD was established in Q1 2009 at prices between $83 and $98 and was reduced by ~45% in 2011 at much higher prices. It was reduced by more than half in Q2 2013 as well at prices between $116 and $155. Q4 2015 and the following quarter saw a combined ~60% reduction at prices between $100 and $122. Last quarter saw another ~55% selling at prices between $138 and $158. The stock currently trades at ~$188. The remaining stake is still the third-largest at ~10% of the portfolio. THM is a 3.39% of the portfolio stake established in the 2013-2015 timeframe at a very low cost-basis. The stock is now at $1.49 and has spiked ~250% since the March lows.Note: Paulson has a ~32% ownership stake in International Tower Hill Mines.BrightSphere Investment Group (BSIG): The ~8% BSIG stake was built in Q4 2018 at prices between $10 and $13.30. Q1 2019 saw a huge ~285% stake increase at prices between $11 and $14.25. The stock currently trades below those ranges at $13.28.Note: Paulsons ownership stake in BSIG is ~25%.Endo International plc (ENDP), and Tiffany & Co (TIF): These two positions saw substantial increases last quarter. TIF is a merger-arbitrage stake. ENDP & TIF stakes are at 1% and 2.35% of the portfolio respectively.Kirkland Lake Gold (KL): KL is a small ~2% of the portfolio position established last quarter at prices between $23 and $45 and the stock currently trades well above that range at ~$54.Pretium Resources (PVG): PVG is a very small 0.64% of the portfolio stake purchased in Q4 2019 at prices between $8.70 and $12.50 and the stock currently trades at $12.33. Last quarter saw a ~7% trimming.Barrick Gold (GOLD), Overseas Shipbuilding Group (OSG), SSR Mining Inc. (SSR), and Trilogy Metals (TMQ): These small (less than ~1.25% of the portfolio each) stakes were kept steady this quarter.Note: Paulson has a ~7.3% ownership stake in Overseas Shipbuilding Group.The spreadsheet below highlights changes to Paulsons US stock holdings in Q2 2020:Regulatory filings thru 5/23/2020: 13D/A  5/21  BSIG  20M shares  24.9% of business, 13D/A  5/15  BHC  25.8M shares  7.28% of business - ~5M shares acquired at ~$16.50, 13D/A  4/13  OSG  6.3M shares  7.3% of business"