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Post by centralcoastinvestor on Apr 1, 2020 8:40:11 GMT -5
In my opinion, the increase in available shares had to be done. I’m not exactly happy about it but it needed to be done. On the positive side, the increase in share count was not as much as I feared it would be. I know many folks are concerned with the direction of the company but I am not one of those. I think we all way underestimated how hard it would be to see Afrezza sales go up. I can remember laughably me thinking that MannKind would soon have to build a new factory to support the exponential growth of Afrezza. How stupid I was. That said, I have retooled my expectations for this company. I think we have a lot of positive potential catalysts coming in the future including TreT, study results and new Technosphere partnerships. The success of this company hinges on intense determination and will. It is amazing that the company is still alive and kicking after what Sanofi did to us. Is it possible that the company will not survive? Yes. However, I think the greatest risk for that has passed. I am optimistic that MannKind will succeed and eventually become a company that will be a leader in the biopharma world.
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Post by boytroy88 on Apr 1, 2020 8:50:35 GMT -5
In my opinion, the increase in available shares had to be done. I’m not exactly happy about it but it needed to be done. On the positive side, the increase in share count was not as much as I feared it would be. I know many folks are concerned with the direction of the company but I am not one of those. I think we all way underestimated how hard it would be to see Afrezza sales go up. I can remember laughably me thinking that MannKind would soon have to build a new factory to support the exponential growth of Afrezza. How stupid I was. That said, I have retooled my expectations for this company. I think we have a lot of positive potential catalysts coming in the future including TreT, study results and new Technosphere partnerships. The success of this company hinges on intense determination and will. It is amazing that the company is still alive and kicking after what Sanofi did to us. Is it possible that the company will not survive? Yes. However, I think the greatest risk for that has passed. I am optimistic that MannKind will succeed and eventually become a company that will be a leader in the biopharma world. I wish I could be you. To be fair I believe a few had said that we probably needed another round of dilution and seeing what just happened to Al's other company it didn't give me any comfort when I saw this. I didn't started investing in this until after a lot of you but still it hurts. Still remember when this was heading into the 7's when MP dropped the statement about sales when he was CFO and then the down hill spiral started. Man, would've, could've, should've.. |
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Post by sportsrancho on Apr 1, 2020 8:58:10 GMT -5
Nadent....says....”You really think they can raise $ in this market? If you thought the terms of past deals were horrific if they can even get a deal this time the terms will be so crippling that only the banker(s) will make out. The raise will have warrants that will make the ones of the past look like Camelot and how much realistically can they get at this point, $25 - $35mm? That gets us to June or so of 2021 and Afrezza, from an operating perspective should be cash flow break even but that won't leave any money to accelerate sales, marketing and advertising and even if they had it, Mike, based on his performance so far won't be able to execute and scale sales in a rapid manner. The truth of the matter is Mike and the BOD, with all of their credentials are big company people, not entrepreneurial. Their plan is they have no plan other than hope they get lucky. If they thought UTHR or another company was going to do a deal with up front $, this would not be happening.”
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Post by centralcoastinvestor on Apr 1, 2020 9:00:26 GMT -5
In my opinion, the increase in available shares had to be done. I’m not exactly happy about it but it needed to be done. On the positive side, the increase in share count was not as much as I feared it would be. I know many folks are concerned with the direction of the company but I am not one of those. I think we all way underestimated how hard it would be to see Afrezza sales go up. I can remember laughably me thinking that MannKind would soon have to build a new factory to support the exponential growth of Afrezza. How stupid I was. That said, I have retooled my expectations for this company. I think we have a lot of positive potential catalysts coming in the future including TreT, study results and new Technosphere partnerships. The success of this company hinges on intense determination and will. It is amazing that the company is still alive and kicking after what Sanofi did to us. Is it possible that the company will not survive? Yes. However, I think the greatest risk for that has passed. I am optimistic that MannKind will succeed and eventually become a company that will be a leader in the biopharma world. I wish I could be you. To be fair I believe a few had said that we probably needed another round of dilution and seeing what just happened to Al's other company it didn't give me any comfort when I saw this. I didn't started investing in this until after a lot of you but still it hurts. Still remember when this was heading into the 7's when MP dropped the statement about sales when he was CFO and then the down hill spiral started. Man, would've, could've, should've.. I have posted a lot less here in recent months because of the very negative tone that has overtaken this board in my opinion. I feel like any positive comments get shot down immediately which is not the way this board used to be. I am extremely stubborn and in the field I work in it takes years and sometimes decades to be successful on a project. I think good things are coming to MannKind shareholders but only those that can endure the disappointments and hiccups that come with a company trying to break its way into the highly competitive BP world. So even on a morning like this one, DOW down 700 after losing 25% percent already, Covid_19 gripping the world and MannKind needing more shares, I still believe that MannKind will win eventually.  |
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Post by mango on Apr 1, 2020 9:17:52 GMT -5
It will serve better to radiate positivity during these times, even when the world is doing everything it can to bring you down. A vessel of hope is the conscious flow of energy that inspires. The universe is on our side, trust the process.
I'm in this 'til the end.
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Post by brotherm1 on Apr 1, 2020 9:18:20 GMT -5
Nadent....says....”You really think they can raise $ in this market? If you thought the terms of past deals were horrific if they can even get a deal this time the terms will be so crippling that only the banker(s) will make out. The raise will have warrants that will make the ones of the past look like Camelot and how much realistically can they get at this point, $25 - $35mm? That gets us to June or so of 2021 and Afrezza, from an operating perspective should be cash flow break even but that won't leave any money to accelerate sales, marketing and advertising and even if they had it, Mike, based on his performance so far won't be able to execute and scale sales in a rapid manner. The truth of the matter is Mike and the BOD, with all of their credentials are big company people, not entrepreneurial. Their plan is they have no plan other than hope they get lucky. If they thought UTHR or another company was going to do a deal with up front $, this would not be happening.” Well, though most here I believe did know more shares needed to be authorized for sale expecting MNKD to not have enough cash after either the end of this year - or at least not by the middle of next year - to keep funded until break even. CJM did say on the previous page these shares need to be voted on at the annual shareholder’s meeting coming up in May before they can be authorized for sale. Is that definitely true? I too thought they had to be voted at the meeting but am now not certain that they could not be otherwise approved and registered for sale later at a better time after the meeting. Regarding Midcap tranches, so far it looks to me Afrezza sales are in line for the next two tranches, though of course we have a ways to go yet. |
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Post by awesomo on Apr 1, 2020 9:34:01 GMT -5
So does line item #4 involve asking for raises yet again?
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Post by awesomo on Apr 1, 2020 9:45:11 GMT -5
The only good thing about the CV lockdown for Mike is he won't have to face angry investors like me and others at the ASM. Saved by the bug. He can also blame the situation on these “extenuating circumstances”. But we all know that is complete B.S., really the writing was on the wall with none of the executives ever buying shares on the open market. They clearly saw what was inevitably going to happen. And this team has shown they can’t be trusted to judiciously use authorized shares. Remember how everyone on the board bought into how the authorized shares last time would be used to take the company to the next level? Well here we are at the same crossroads a few years later. The only people that have benefited are the executive team and the BoD. Oh, and the shorts. |
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Post by matt on Apr 1, 2020 10:12:36 GMT -5
CJM did say on the previous page these shares need to be voted on at the annual shareholder’s meeting coming up in May before they can be authorized for sale. Is that definitely true? I too thought they had to be voted at the meeting but am now not certain that they could not be otherwise approved and registered for sale later at a better time after the meeting. True and false  . Delaware general corporate law mandates that shareholder approval is required for any increase in authorized capital, and this action may be taken at the annual meeting or a special meeting called for that purpose or by a consent resolution (used mainly for closely held corporations). There is a cost to prepare SEC filings and to solicit proxies so if a capital authorization is needed in the next year it generally makes sense to put the item on the agenda for the annual meeting to avoid the cost of duplicate filings and proxy solicitations, but this is a judgment call by the board. The text of the statute reads as follows: "If the corporation has capital stock, its board of directors shall adopt a resolution setting forth the amendment proposed, declaring its advisability, and either calling a special meeting of the stockholders entitled to vote in respect thereof for the consideration of such amendment or directing that the amendment proposed be considered at the next annual meeting of the stockholders . . ." Note that the shareholder vote authorizes the new shares as a matter of Delaware law, but it does not register the shares for sale which is an SEC matter under federal law. These are two separate events that require two separate legal documents. Authorization must, necessarily, be the first step before registration but companies like MNKD can issue shares against a valid S-3 shelf registration, so the registration step is literally submitting a two page form. |
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Post by boca1girl on Apr 1, 2020 10:34:13 GMT -5
There were multiple reasons given for the request to increase shares. I hate the thought of increasing shares and the resulting dilution, but I think that it is a necessary evil. I hope the new board member will have better insight for raising capital when needed and not waste our equity.
We will all have to make the decision to vote yes or no on the proposal. I believe the retail shareholders will not be influential in the decision and the increase will be approved. If you are still holding the stock at the the time of the ASM, then you’ll need to make another decision to hold or sell. Will MNKD be better off or worse off with the 400M share authorization.
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Post by awesomo on Apr 1, 2020 10:43:24 GMT -5
Dilution is probably a necessary evil at this point, but the problem is diluting are these levels. I don’t know of many companies that have had shareholders survive two reverse splits.
If they can pull off another pump raise at $6, that would be great...
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Post by lennymnkd on Apr 1, 2020 10:49:44 GMT -5
Someone this morning mentioned good news would have come out before the raise / but wouldn't the shares raised need to be there for the forthcoming news .. pump/raise
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Post by mango on Apr 1, 2020 10:49:51 GMT -5
Dilution is probably a necessary evil at this point, but the problem is diluting are these levels. I don’t know of many companies that have had shareholders survive two reverse splits. If they can pull off another pump raise at $6, that would be great... Are we for sure doing a RS or are you just assuming/speculating they will? |
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Post by awesomo on Apr 1, 2020 10:52:28 GMT -5
Dilution is probably a necessary evil at this point, but the problem is diluting are these levels. I don’t know of many companies that have had shareholders survive two reverse splits. If they can pull off another pump raise at $6, that would be great... Are we for sure doing a RS or are you just assuming/speculating they will? Speculation, but if they dilute and we are still near $1, it will tank the share price well below compliance for awhile unless some drastically good news comes out (in which case dilution would have been done after). |
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Post by boytroy88 on Apr 1, 2020 11:40:53 GMT -5
I wish I could be you. To be fair I believe a few had said that we probably needed another round of dilution and seeing what just happened to Al's other company it didn't give me any comfort when I saw this. I didn't started investing in this until after a lot of you but still it hurts. Still remember when this was heading into the 7's when MP dropped the statement about sales when he was CFO and then the down hill spiral started. Man, would've, could've, should've.. I have posted a lot less here in recent months because of the very negative tone that has overtaken this board in my opinion. I feel like any positive comments get shot down immediately which is not the way this board used to be. I am extremely stubborn and in the field I work in it takes years and sometimes decades to be successful on a project. I think good things are coming to MannKind shareholders but only those that can endure the disappointments and hiccups that come with a company trying to break its way into the highly competitive BP world. So even on a morning like this one, DOW down 700 after losing 25% percent already, Covid_19 gripping the world and MannKind needing more shares, I still believe that MannKind will win eventually. I'm actually kind of glad that there are a few like you. I know my tone was negative but it was deflating seeing the news first thing this morning and if you look at my prior posts you'll find that I'm generally positive. Like I said, with the news of Al's other company calling it quits (have sibling that works there, check that, worked there as of yesterday), the pandemic along with all that mess this news just kind of nudged me over. Oh, before I forget - Thanks for staying positive and let's see where this less us. Most of us are down quite a bit and we just need a little spark to show us that there is light at the end of the tunnel. |
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. Delaware general corporate law mandates that shareholder approval is required for any increase in authorized capital, and this action may be taken at the annual meeting or a special meeting called for that purpose or by a consent resolution (used mainly for closely held corporations). There is a cost to prepare SEC filings and to solicit proxies so if a capital authorization is needed in the next year it generally makes sense to put the item on the agenda for the annual meeting to avoid the cost of duplicate filings and proxy solicitations, but this is a judgment call by the board. The text of the statute reads as follows:
