TLC Vision Corporation (NDAQ:TLCV) may find itself under increased scrutiny after Glenhill Advisors disclosed a 13.9% stake in the company and expressed their concerns about the company's under performance in a Schedule 13D filing with the SEC. In their letter to the company's board of directors, they stated that they are carefully monitoring the business, operations, and financial performance of TLC Vision. They are concerned that the company is currently under performing in a variety of respects and that if it continues on its current course, its business and financial prospects may be significantly negatively impacted. Interestingly, they also noted that the availability of any viable strategic alternatives may also be significantly limited as a result. The hedge fund said that it is exploring all of its options, including potential changes to the board composition.

Investors should also be aware that Sowood Capital Management, a 7% holder in the company, expressed similar concerns back in December of last year. The hedge fund changed its status from a passive 13G to an active 13D while noting that they intended to engage in discussions with management. Meanwhile, analysts recently noted that visibility into TLC Vision's performance going ahead remains weak, in spite of early signs of traction being shown by the LVC strategy - noting that there is scope for the company's fundamentals to improve substantially in 2008 and beyond. Whether or not Glenhill or Sowood take action remains to be seen; however, this is definitely a stock to watch in the meantime.

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