Bill Ackman's Comments Send Borders Soaring! (BGP, BKS)

Activist investor, Bill Ackman just appeared on Fast Money and made some very bullish comments about Borders Group (NYSE: BGP). His fund, Pershing Square, holds a large position in Borders (BGP). In the after hours the stock has absolutely skyrocketed, moving nearly 50% higher in the last few minutes. Ackman told viewers that the company "has made a lot of progress operationally and financially." He said that he thinks it is very unlikely that Borders Group (BGP) will go bankrupt and that the stock offers an opportunity to make "multiples" on your investment.

Ackman also used to hold a position in Borders' main rival, Barnes & Noble (NYSE: BKS), but he told the Fast Money desk that he sold his shares because he believes that Borders presents a "much more attractive risk/reward" investment. Shares of Barnes & Noble (BKS) are trending slightly lower in the after hours session. Ackman believes that Borders may end up getting bought out by Barnes & Noble, or that the two companies could merge in the future.