Is the iPhone Enough to Excite Leap’s Largest Stockholders?

For the year-t0-date, Leap Wireless International Inc. (NASDAQ:LEAP) shares are down 45.53 percent. Last week, the company announced that it will become the first mainland service to offer American customers Apple Inc. (NASDAQ:AAPL) iPhones on a pre-paid, no-contract basis.

According to ZDNet, the opportunity will accommodate  approximately 70 percent of Leap Wireless’ customers but with the high iPhone prices, the company doesn’t believe more than 10 percent of them will participate in the deal; its customer base is low-income homes that don’t have contracts.

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This month, Leap Wireless will offer Apple’s (NASDAQ:AAPL) 16GB iPhone 4S and 8GB iPhone 4 with a wireless plan of $55 per month but at a cost of $499.99 and $399.99, respectively, roughly $150 – 300 higher than its competitors.

With the no-contract, pre-paid Apple offer, will Leap Wireless’ largest shareholders increase their holdings? 208 institutional firms indicated owning shares of Leap Wireless International Inc. (NASDAQ:LEAP) in Q1 2012. These firms reported owning a total of 214.031 million shares on 03/31/2012. The shares closed at $8.73 on 03/31/2012.

Here are the ten largest positions in Leap Wireless International Inc. at the end of March 31st, 2012.

Shenkman Capital Management Inc held 42,182,000 shares on 03/31/2012 worth $40,706,000. This brought the portfolio total to 4.76%.

Mhr Fund Management LLC held 23,533,869 shares on 03/31/2012 worth $205,450,666. This brought the portfolio total to 8.83%.

Capital World Investors held 17,800,000 shares on 03/31/2012 worth $17,066,000. This brought the portfolio total to 0.01%.

Wellington Management Co LLP held 13,814,000 shares on 03/31/2012 worth $13,175,000. This brought the portfolio total to 0.0%.

Wolverine Asset Management LLC held 12,241,000 shares on 03/31/2012 worth $11,686,000. This brought the portfolio total to 0.23%.

Capital Research Global Investors held 9,640,252 shares on 03/31/2012 worth $84,159,396. This brought the portfolio total to 0.04%.

Goldman Sachs Group Inc held 8,546,000 shares on 03/31/2012 worth $8,150,740. This brought the portfolio total to 0.0%.

Wellington Management Co LLP held 7,123,525 shares on 03/31/2012 worth $62,188,370. This brought the portfolio total to 0.02%.

Pentwater Capital Management LP held 5,315,000 shares on 03/31/2012 worth $46,400,000. This brought the portfolio total to 1.52%.

Pentwater Capital Management LP held 4,950,011 shares on 03/31/2012 worth $43,213,594. This brought the portfolio total to 1.42%.

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