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Post by slugworth008 on Sept 10, 2017 13:28:25 GMT -5
BRUCE & COMPANY ., INC.(PRN) PRN indicates principal amount on convertible debt securities Shares Held: 27,690,000 Market Value: $ 17,998,000 Source: 13F Source Date: 2017-06-30 Date Reported: 2017-08-09 Bruce? Bruce Wayne perhaps? Well if Batman is in (and in big IMO) - We are good to go
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Post by mnholdem on Sept 10, 2017 16:08:52 GMT -5
It's possible that Bruce & Co. purchased MNKD and is holding for another player. This is legal. When "the other player" wants control of the stock they pay Bruce and Co. a predetermined "holding fee" plus the value of the stock at time of transfer. Maybe "the other player" wants to remain sheltered until the time is right. Who the hell ever heard of Bruce and Co.;they come from nowhere to become MNKD's #1 holder at 27million shares. Does that pass you sniff test? Debt can be profitable. Because this is convertible debt, MannKind has the option to pay off this debt utilizing either cash or equity. If equity, the discounted share price is built into the debt agreement. When Bruce reports "number of shares" they are simply taking the debt and reporting the equivalent market value, based on the share price the day their 13F form is filed. If MNKD share price increases significantly, Bruce & Co stand to make $millions - perhaps hundreds of $millions - ROI for their investment in MannKind Corporation.
I certainly think this passes the sniff test. Only time will tell whether the managers at Chicago-based Bruce & Co are brilliant or not.
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Post by straightly on Sept 11, 2017 1:20:00 GMT -5
It's possible that Bruce & Co. purchased MNKD and is holding for another player. This is legal. When "the other player" wants control of the stock they pay Bruce and Co. a predetermined "holding fee" plus the value of the stock at time of transfer. Maybe "the other player" wants to remain sheltered until the time is right. Who the hell ever heard of Bruce and Co.;they come from nowhere to become MNKD's #1 holder at 27million shares. Does that pass you sniff test? Debt can be profitable. Because this is convertible debt, MannKind has the option to pay off this debt utilizing either cash or equity. If equity, the discounted share price is built into the debt agreement. When Bruce reports "number of shares" they are simply taking the debt and reporting the equivalent market value, based on the share price the day their 13F form is filed. If MNKD share price increases significantly, Bruce & Co stand to make $millions - perhaps hundreds of $millions - ROI for their investment in MannKind Corporation.
I certainly think this passes the sniff test. Only time will tell whether the managers at Chicago-based Bruce & Co are brilliant or not.
You sure that debt, even can be converted, will count as shares before conversion? Warrants do not count till they are executed.
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Post by mnholdem on Sept 11, 2017 6:22:16 GMT -5
The share equivalency is for reporting purposes and is why the holdings are designated PRN. It's similar to funds filing holdings of millions of Call Options. They don't own shares but only the right to purchase x number of shares at a specific strike price. PRN is the right to convert x number of shares.
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Post by straightly on Sept 11, 2017 9:10:56 GMT -5
The share equivalency is for reporting purposes and is why the holdings are designated PRN. It's similar to funds filing holdings of millions of Call Options. They don't own shares but only the right to purchase x number of shares at a specific strike price. PRN is the right to convert x number of shares. What PRN stands for? If it is converts, what are the convert price, or I missed it?
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Post by mnholdem on Sept 11, 2017 9:30:21 GMT -5
Those questions have already been answered.
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Post by ghochr on Sept 12, 2017 17:07:01 GMT -5
It's possible that Bruce & Co. purchased MNKD and is holding for another player. This is legal. When "the other player" wants control of the stock they pay Bruce and Co. a predetermined "holding fee" plus the value of the stock at time of transfer. Maybe "the other player" wants to remain sheltered until the time is right. Who the hell ever heard of Bruce and Co.;they come from nowhere to become MNKD's #1 holder at 27million shares. Does that pass you sniff test? Debt can be profitable. Because this is convertible debt, MannKind has the option to pay off this debt utilizing either cash or equity. If equity, the discounted share price is built into the debt agreement. When Bruce reports "number of shares" they are simply taking the debt and reporting the equivalent market value, based on the share price the day their 13F form is filed. If MNKD share price increases significantly, Bruce & Co stand to make $millions - perhaps hundreds of $millions - ROI for their investment in MannKind Corporation.
I certainly think this passes the sniff test. Only time will tell whether the managers at Chicago-based Bruce & Co are brilliant or not.
It's the option for the debt holder to convert debt into equity or take cash. Mannkind only has the option to pay cash at their discretion unless equity is trading at 150% of the convertible price which is 34 after post split for 20 of the 30 trading days . If indeed MNKD is trading north of 54 , deb holder can request equity as they will be in the money and sitting on paper profit. In the current scenario they would only take cash and Mannkind has only that option to pay the debt off.
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Post by ghochr on Sept 12, 2017 17:09:09 GMT -5
The share equivalency is for reporting purposes and is why the holdings are designated PRN. It's similar to funds filing holdings of millions of Call Options. They don't own shares but only the right to purchase x number of shares at a specific strike price. PRN is the right to convert x number of shares. What PRN stands for? If it is converts, what are the convert price, or I missed it? 150% of $34 for 20 of the 30 trading days
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Post by ghochr on Sept 12, 2017 17:13:30 GMT -5
The share equivalency is for reporting purposes and is why the holdings are designated PRN. It's similar to funds filing holdings of millions of Call Options. They don't own shares but only the right to purchase x number of shares at a specific strike price. PRN is the right to convert x number of shares. Convertible debt is the right to convert agreed number of shares at a fixed price as in the debt agreement. In this case it was 34 + 17 per each share and if the debt is say 51 million they can get 1 million shares. If shares are trading north of 51 they can still get 1 million shares and profit of by converting into equity or if below 51 they would be better of taking cash
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Post by ghochr on Sept 12, 2017 17:16:35 GMT -5
It's possible that Bruce & Co. purchased MNKD and is holding for another player. This is legal. When "the other player" wants control of the stock they pay Bruce and Co. a predetermined "holding fee" plus the value of the stock at time of transfer. Maybe "the other player" wants to remain sheltered until the time is right. Who the hell ever heard of Bruce and Co.;they come from nowhere to become MNKD's #1 holder at 27million shares. Does that pass you sniff test? This is convertible debt. Why would the other player convert this debt at such a high price when they can buy open market? And again they don't hold 27 million shares so I am not sure if we are looking .. strike that ... sniffing at the same thing.
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