By Connor Hart
Shares of Designer Brands rose after one of its shareholders, Stone House Capital Management, flipped to being an activist investor from a passive role.
The stock was recently trading 3.2% higher at $6.77. Despite the gain, shares are down 8.4% since the beginning of the year.
Stone House on Friday reported a more than 16% stake in the footwear-and-accessories company in a Schedule 13D filed with the Securities and Exchange Commission. The hedge fund had previously reported its stake in a Schedule 13G filing.
All shareholders that beneficially own more than 5% of a class of registered voting securities must report their ownership stake in either a 13G or a 13D filing. The difference between the filings boil down to intent.
In order to disclose a holding in a 13G, investors must certify their shares "were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer," according to the SEC.
A 13D, on the other hand, requires more detailed information on a shareholder's beneficial ownership of and transactions in a subject company's shares, as well as its plans and proposals with respect to the company.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
June 12, 2026 13:49 ET (17:49 GMT)
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