(Reuters) - Activist investor Carl Icahn raised his stake in Chesapeake Energy Corp (N:CHK) to almost 11 percent even as the company continues to cope with low oil and gas prices.
Chesapeake's stock rose 3.8 percent to $14.64 in late trade.
Icahn increased his stake to 10.98 percent from 9.98 percent with 73.05 million shares held in Chesapeake, according to a regulatory filing on Monday. (http://1.usa.gov/1HsJzA0)
Icahn will remain the second-largest owner in the company with his increased stake, according to Thomson Reuters data.
In a separate announcement, Chesapeake further reduced its 2015 capital budget to a range of $3.5 billion to $4 billion from $4 billion to $4.5 billion in response to low crude oil prices. The company reported capital expenditures of $6.7 billion in 2014.
Icahn said in February he believed oil prices would continue to decline in the near term.
Last year, Icahn's publicly traded investment fund Icahn Enterprises LP (O:IEP) posted its first annual loss since 2008, undone by plummeting oil prices.
U.S. oil prices