"Falcone Buying Out Backer of Harbinger

Philip A. Falcone, the manager of Harbinger Capital Partners, is moving toward total control of his hedge fund.

Mr. Falcone is buying out Harbert Management, the firm that backed Harbinger’s start-up, the newsletter Hedge Fund Alert reports. Harbert, an alternative-investment manager based in Birmingham, Ala., acquired a stake in Mr. Falcone’s New York firm when it provided $25 million of seed capital for Harbinger’s first fund in 2001.

Mr. Falcone is buying back Harbert’s stake for an undisclosed sum, giving him 100 percent control of the firm.

Harbert will maintain its positions in Harbringer’s funds and will continue to provide operational support to the firm, Hedge Fund Alert reports.

Among its investments, Harbinger, along with Firebrand Partners, holds 19 percent of The New York Times Company’s stock."