Upcoming warrant exercise - cause for the current downtrend?

[liane]

finance.yahoo.com/mbview/threadview/;_ylt=Ank7_yHwVsvkn8wBGnWBz8zeAohG;_ylu=X3oDMTB1cHB2cjA0BHBvcwMyBHNlYwNNZWRpYU1zZ0JvYXJkc1hIUlVsdA--;_ylg=X3oDMTBhYWM1a2sxBGxhbmcDZW4tVVM-;_ylv=3?&bn=0243242e-59fb-3abc-8d27-962c7bf26a1d&tid=1380914848137-984b2f86-e760-4c88-adbd-4885c095bd8d&stb=o&tls=

Saw this over on YMB. I know this prolonged downtrend has been exasperating, but the explanation by prmco26 regarding the upcoming warrant exercise makes a lot of sense.

Hopefully not too much longer until some good news.

Have a good weekend everyone!

[jpg]

Interesting link. I invest in biotech based on my understanding of science and 'anthropology of medicine prescription' but enjoy trying to figuring out or at least understand these type of 'financial engineering'.

For Deerfield wouldn't shorting MNKD now seem like a logical way to lock in profits (but also of forgoing any eventual good news upside)? Deerfield drives down the price and buying back only after a catalyst? This way they would be certain of the outcome (positive catalyst), get more shares and not be hurt by the upside as the rise of price by any potential good news would be diluted by the 20 day moving average.

If true I wonder how many short sellers are thinking they are well surrounded and safe because there are so many shorting?

Again if true at a certain point there will be an opportunity for these same short sellers to inverse the game and push in the other direction. They (if few and organized) could easily set themselves up well to do very well from the end of this trade...

JPG