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Post by garrett on Mar 6, 2015 10:28:56 GMT -5
Have they addressed these sales on any calls? Or anywhere whatsoever? Mann and Edstrom each still have over 1 million shares, but this Martens character only have 70k shares left, when he's sold over 750k shares over the past year, is just inexcusable for top management. The insider selling, along with insurance companies classifying it as a tier 4 specialty drug, are the 2 things that worry me the most about MNKD Generally, I don't have a problem with insiders selling part of their holding, but then they do so on the appearance of insider trading - that's the problem
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Post by garrett on Mar 6, 2015 10:33:58 GMT -5
So, Juerden sells 65% of his holding in MannKind on 03/02/15 at an average price of $6.54 based on a 10b5-1 Plan which he, of course, setup weeks before and then suddenly, within 24 hours of his sale, Goldman puts out a major sell on the stock. I have to commend Juerden - his timing was extraordinary! Don't forget that hakan sold at the ytd top Fugacity, I think Hakan just got luckly, but Juerden undoubtedly got tipped off about the upcoming GS announcement!
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Post by Deleted on Mar 6, 2015 10:37:16 GMT -5
Have they addressed these sales on any calls? Or anywhere whatsoever? Mann and Edstrom each still have over 1 million shares, but this Martens character only have 70k shares left, when he's sold over 750k shares over the past year, is just inexcusable for top management. The insider selling, along with insurance companies classifying it as a tier 4 specialty drug, are the 2 things that worry me the most about MNKD Tier 4? On MMIT I'd say about 90% of commercial insurance providers are showing it as Tier 3, and only a few as PA required. I dont see Tier 4 for any of them. Where are you getting this info?
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Post by Deleted on Mar 6, 2015 11:03:22 GMT -5
Newbie here. Perhaps someone can explain the mechanics to me. Early into the launch, does it matter what tier it is one given that a patient can go to Afrezza website, get a co-pay card that provides their first Rx for free and then a max cost of $30 for refills? Thank you,
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Post by Deleted on Mar 6, 2015 11:04:17 GMT -5
I am under the impression that officer share sales are determined well in advance so as not to have any issue, perceived or otherwise of inappropriate share sales.
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Post by Deleted on Mar 6, 2015 11:13:28 GMT -5
i am almost sure all the insiders have thought by now , stock price could be in mid teens with all the positive buzz just like every one of us and put in those sell plans.... they must be surprised too. and I have noticed one thing.. Insiders are always almost early..
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Post by nugjuice on Mar 6, 2015 11:14:52 GMT -5
Have they addressed these sales on any calls? Or anywhere whatsoever? Mann and Edstrom each still have over 1 million shares, but this Martens character only have 70k shares left, when he's sold over 750k shares over the past year, is just inexcusable for top management. The insider selling, along with insurance companies classifying it as a tier 4 specialty drug, are the 2 things that worry me the most about MNKD Tier 4? On MMIT I'd say about 90% of commercial insurance providers are showing it as Tier 3, and only a few as PA required. I dont see Tier 4 for any of them. Where are you getting this info? mnkd.proboards.com/thread/1881/got-afrezza-rx-todayA poster here a few days ago said it's tier 4 through Optima I'm going to admit I know next to nothing about how insurance companies classify drugs and price them, or where to look. When I read that post, I just did some googling and saw that tier 4 was the 'worst' tier to be in, considered a specialty drug. I'm glad to hear that it's not classified as such everywhere. Do you mind showing me where you're seeing the tier 3 data? Someone at work was asking me which insurance companies covered it and what tier and I couldn't find a good answer
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Post by savzak on Mar 6, 2015 11:18:47 GMT -5
but Juerden undoubtedly got tipped off about the upcoming GS announcement! That's a heck of an accusation. What is your basis for it?
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Post by Deleted on Mar 6, 2015 11:33:37 GMT -5
Tier 4? On MMIT I'd say about 90% of commercial insurance providers are showing it as Tier 3, and only a few as PA required. I dont see Tier 4 for any of them. Where are you getting this info? mnkd.proboards.com/thread/1881/got-afrezza-rx-todayA poster here a few days ago said it's tier 4 through Optima I'm going to admit I know next to nothing about how insurance companies classify drugs and price them, or where to look. When I read that post, I just did some googling and saw that tier 4 was the 'worst' tier to be in, considered a specialty drug. I'm glad to hear that it's not classified as such everywhere. Do you mind showing me where you're seeing the tier 3 data? Someone at work was asking me which insurance companies covered it and what tier and I couldn't find a good answer If you have an Iphone, go to the app store and download an app called MMIT. Plug in the drug name, the geographic area and away you go.
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Post by nugjuice on Mar 6, 2015 11:37:03 GMT -5
mnkd.proboards.com/thread/1881/got-afrezza-rx-todayA poster here a few days ago said it's tier 4 through Optima I'm going to admit I know next to nothing about how insurance companies classify drugs and price them, or where to look. When I read that post, I just did some googling and saw that tier 4 was the 'worst' tier to be in, considered a specialty drug. I'm glad to hear that it's not classified as such everywhere. Do you mind showing me where you're seeing the tier 3 data? Someone at work was asking me which insurance companies covered it and what tier and I couldn't find a good answer If you have an Iphone, go to the app store and download an app called MMIT. Plug in the drug name, the geographic area and away you go. Sorry, I'm an Android guy Just checked and they don't have an app on the Play Store. Thanks anyway
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Post by ezrasfund on Mar 6, 2015 11:38:29 GMT -5
Al Mann and Hakan Edstrom are holding virtually all of their shares. Matt Pfeffer rarely sells and seemingly only when a price target is reached, not at a set date.
All of the other officers regularly sell most of their shares at a pre-planned date. By law their sales cannot be based on any inside information, and I can see no reason why these folks, who are all plenty rich, would risk long prison terms by selling based on any inside info.
On the other hand, there are very many stories of people who were bankrupted because they had all of their money in the stock of their employer when the company went broke. Standard financial advice would be to sell most of the vested shares so as not to have all of your financial eggs in the same basket, your job and your major investment in the same company. These people already have a big stake in the company by virtue of their job, and they will continue to get more stock options which they can reasonably view as part of their income.
And I will add this about standard financial advice and the company going broke. This has happened to some whose net worth was north of $100 million. Once problems begin to appear in your company and it begins the long slide to bankruptcy then insiders cannot initiate sales, because that would involve using inside info and a possible jail term. And so they are trapped and cannot legally sell unless they already have a longstanding plan in place.
All of this talk of insider selling and buying is mostly hot air with no significance. In fact I am surprised that Hakan continues to hold such a large stake.
If you want a real indication of an insider transaction that meant something, it is when Al Mann (and his foundations) purchased 40% of the secondary stock offering. I don't think he was throwing good money after bad. He was giving you the real view of insider sentiment, and those who did what Al Mann did are happy about it.
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Post by Deleted on Mar 6, 2015 11:39:27 GMT -5
Attachment DeletedIncluded a screenshot. All those yellow "Covered" are tier 3. The green is Tier 2.
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Post by nugjuice on Mar 6, 2015 11:43:06 GMT -5
Don't forget that hakan sold at the ytd top Fugacity, I think Hakan just got luckly, but Juerden undoubtedly got tipped off about the upcoming GS announcement! Do we know if MNKD has a required waiting period between implementation of the plan and the first planned sale? From what I know, it's not required by law, but a lot of companies impose at least a 10 day delay from when the 10b5-1 plan is implemented to when the first sale can occur.
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Post by nugjuice on Mar 6, 2015 11:44:10 GMT -5
Included a screenshot. All those yellow "Covered" are tier 3. The green is Tier 2. Thank you!
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Post by mnholdem on Mar 6, 2015 13:13:47 GMT -5
Several months ago, I read the SEC filings related to these Options-to-Buy and Restricted Options and I recall the document clearly stating that an employee whose employment with MannKind Corporation is terminated (whether voluntarily or involuntarily) loses any awards that have not been exercised, even if they are vested. Could you find that somewhere and post a link? Usually, once you exercise the option and it becomes stock you own it. However, that can be expensive since you have to pay the strike on the option and immediately pay taxes on the difference between the stock price and the strike price - this can be a lot of money. Also, you generally have 90 days to exercise any vested options after you part with the company under any circumstance. I'd be curious to see the link you're citing because I've never heard of rules like that. However, I fully acknowledge they could exist. I recall reading it in one of the Award Agreements between an Officer and MannKind. I'm also pretty sure it was Ms. Palumbo's. This was many months ago, so I may be entirely missing the boat on this one. As you say, most companies allow 90 days. MannKind does as well, as this link illustrates, although I copy/pasted the relevant section just below.
www.investors.mannkindcorp.com/phoenix.zhtml?c=147953&p=irol-SECText&TEXT=aHR0cDovL2FwaS50ZW5rd2l6YXJkLmNvbS9maWxpbmcueG1sP2lwYWdlPTg5NDc2MzkmRFNFUT0wJlNFUT0wJlNRREVTQz1TRUNUSU9OX0VOVElSRSZzdWJzaWQ9NTc%3d
(g) Termination of Continuous Service. Except as otherwise provided in the applicable Award Agreement or other agreement between the Participant and the Company, if a Participant’s Continuous Service terminates (other than for Cause and other than upon the Participant’s death, Disability, or Retirement), the Participant may exercise the Participant’s Option or SAR (to the extent that the Participant was entitled to exercise such Award as of the date of termination of Continuous Service) within the period of time ending on the earlier of (i) the date three (3) months following the termination of the Participant’s Continuous Service (or such longer or shorter period specified in the applicable Award Agreement), and (ii) the expiration of the term of the Option or SAR as set forth in the Award Agreement. If, after termination of Continuous Service, the Participant does not exercise his or her Option or SAR (as applicable) within the applicable time frame, the Option or SAR will terminate.
As highlighted in red, MannKind states "except as otherwise provided in the applicable Award Agreement or other agreement..." Again, even in the Award Agreement given to Ms. Palumbo, there likely is a line which references the above, regarding her rights to exercise her options.
ALL OF THAT SAID (which has already been too much) even with the 90-day allowance, if Ms. Palumbo or Mr. Thompsen or any other officer knew that they were leaving soon, and they anticipate the share price might be going higher, it would make sense to exercise his/her options now while the price is low, to pay as little $$$ for taxes as possible. I conceded that it may NOT be out of fear of losing the opportunity to exercise their awards.
Moving on...
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