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Post by mnholdem on Nov 10, 2015 10:00:03 GMT -5
Over the past few years, I've heard it mentioned that Al Mann has, at one time or another, made known his intense dislike for short interests. I, myself, recall an interview of Al Mann where he stated that if it were up to him, shorting of stocks would not be allowed in the stock market. Others have written that there have been instances where Al voiced what was described as pure hatred of those who short the company's stock.
During yesterday's earnings call, CFO Matthew Pfeffer made a statement that has me wondering if Al does, indeed, hope to be able to punish the shorts for the effect that they've had on MannKind Corporation.
Matthew Pfeffer
Thank you, Rose. Currently we have 30 million available to borrow under the amended loan agreement with The Mann Group, and an additional 38 million available under our ATM facility. To further build cash reserves, I am pleased to announce that MannKind has entered into preliminary contracts with a number of entities representing Tel Aviv Stock Exchange index funds for direct placement of our shares into those funds. We expect to sell up to 50 million shares through these contracts which we'll finalize within the next week.
[skip section]
Selling directly to these index funds offers critical benefits to MannKind shareholders. First, that these index funds are required to hold the stock essentially indefinitely as long as we are included in the associated index, providing a stabilizing force in the market. Second, the index funds are required to hold the shares, and not make them available for lending. And therefore, will not be part of a potential shorting pool here in the U.S.
You will remember that I have said more than once that the last form of financing I thought we should consider would be a traditional marketed secondary offering. There are many reasons for this, not the least of which is that such an offering would play into the hands of those who short our stock, allowing them a painless way to unwind their positions.
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Am I interpreting this correctly? Did Matt just tell shareholders that MannKind Corporation does not want to allow those who have shorted MNKD to have a painless way out?
If so, then it makes me wonder if Al (or management) is planning to inflict some pain of their own against short interests.  
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Post by tbone on Nov 10, 2015 10:03:01 GMT -5
Seems pretty painless for them watching it go to zero without covering too.
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Post by bradleysbest on Nov 10, 2015 10:08:06 GMT -5
Hopefully the "shorts" get what they deserve & the pain starts soon! Not sure how much longer or lower this can go before they have to start "unwinding" their positions?
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Post by ricguy on Nov 10, 2015 10:08:22 GMT -5
Over the past few years, I've heard it mentioned that Al Mann has, at one time or another, made known his intense dislike for short interests. I, myself, recall an interview of Al Mann where he stated that if it were up to him, shorting of stocks would not be allowed in the stock market. Others have written that there have been instances where Al voiced what was described as pure hatred of those who short the company's stock.
During yesterday's earnings call, CFO Matthew Pfeffer made a statement that has me wondering if Al does, indeed, hope to be able to punish the shorts for the effect that they've had on MannKind Corporation.
Matthew Pfeffer
Thank you, Rose. Currently we have 30 million available to borrow under the amended loan agreement with The Mann Group, and an additional 38 million available under our ATM facility. To further build cash reserves, I am pleased to announce that MannKind has entered into preliminary contracts with a number of entities representing Tel Aviv Stock Exchange index funds for direct placement of our shares into those funds. We expect to sell up to 50 million shares through these contracts which we'll finalize within the next week.
[skip section]
Selling directly to these index funds offers critical benefits to MannKind shareholders. First, that these index funds are required to hold the stock essentially indefinitely as long as we are included in the associated index, providing a stabilizing force in the market. Second, the index funds are required to hold the shares, and not make them available for lending. And therefore, will not be part of a potential shorting pool here in the U.S.
You will remember that I have said more than once that the last form of financing I thought we should consider would be a traditional marketed secondary offering. There are many reasons for this, not the least of which is that such an offering would play into the hands of those who short our stock, allowing them a painless way to unwind their positions.
-----
Am I interpreting this correctly? Did Matt just tell shareholders that MannKind Corporation does not want to allow those who have shorted MNKD to have a painless way out?
If so, then it makes me wonder if Al (or management) is planning to inflict some pain of their own against short interests.
Maybe but the only way this works is if Afrezza sales start to pick up and a TS partner would be nice. |
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Post by mindovermatter on Nov 10, 2015 10:08:37 GMT -5
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Am I interpreting this correctly? Did Matt just tell shareholders that MannKind Corporation does not want to allow those who have shorted MNKD to have a painless way out?
If so, then it makes me wonder if Al (or management) is planning to inflict some pain of their own against short interests.
If Al dislikes the shorts, why is this move happening now of all times? Why didn't happen earlier this year? Or last year? or the year before? Or the year before that? And why did Al negotiate a deal with BofA to lend them 9 million shares knowing BofA could lend them out to short? The silly notion that Al is going to take care of the shorts hasn't happened and never will. What will is when Mannkind finally sees skyrocketing Afrezza sales or if Mannkind gets bought out at a nice premium. And I don't believe listing on the TASE is going to do anything to hurt the shorts. It will be business as usual. Maybe it's time for Mannkind to actually execute. |
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Post by tarheelblue004 on Nov 10, 2015 10:09:21 GMT -5
Yes I noticed this too. Instead of saying he wanted to avoid issuing shares that they could short, he stated he wanted to avoid issuing shares that they could purchase to unwind. Not going to lie - that made me really happy haha.
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Post by rockstarrick on Nov 10, 2015 10:19:43 GMT -5
Over the past few years, I've heard it mentioned that Al Mann has, at one time or another, made known his intense dislike for short interests. I, myself, recall an interview of Al Mann where he stated that if it were up to him, shorting of stocks would not be allowed in the stock market. Others have written that there have been instances where Al voiced what was described as pure hatred of those who short the company's stock.
During yesterday's earnings call, CFO Matthew Pfeffer made a statement that has me wondering if Al does, indeed, hope to be able to punish the shorts for the effect that they've had on MannKind Corporation.
Matthew Pfeffer
Thank you, Rose. Currently we have 30 million available to borrow under the amended loan agreement with The Mann Group, and an additional 38 million available under our ATM facility. To further build cash reserves, I am pleased to announce that MannKind has entered into preliminary contracts with a number of entities representing Tel Aviv Stock Exchange index funds for direct placement of our shares into those funds. We expect to sell up to 50 million shares through these contracts which we'll finalize within the next week.
[skip section]
Selling directly to these index funds offers critical benefits to MannKind shareholders. First, that these index funds are required to hold the stock essentially indefinitely as long as we are included in the associated index, providing a stabilizing force in the market. Second, the index funds are required to hold the shares, and not make them available for lending. And therefore, will not be part of a potential shorting pool here in the U.S.
You will remember that I have said more than once that the last form of financing I thought we should consider would be a traditional marketed secondary offering. There are many reasons for this, not the least of which is that such an offering would play into the hands of those who short our stock, allowing them a painless way to unwind their positions.
-----
Am I interpreting this correctly? Did Matt just tell shareholders that MannKind Corporation does not want to allow those who have shorted MNKD to have a painless way out?
If so, then it makes me wonder if Al (or management) is planning to inflict some pain of their own against short interests.
I think that statement speaks for itself !! No doubt at least some of the shorts were expecting a secondary offering to the Nasdaq to find the shares needed to cover. It seems bk is their only hope now, and I don't see this happening. I continue to add and wait for Sanofi to grab the next gear. In my opinion, this will happen sooner than later. Good to point this out MN Good Luck |
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Post by mbseeking on Nov 10, 2015 10:26:07 GMT -5
yes, believe this is personal. both ways. Good highlight mn. remember the shorts are already sucking wind.. until recently they were on the SHO lists... together with increasing rates indicating they'd run out of ammo for shorting. Now to be sure in the last few days pressure is off as a few longs appear to have capitulated..but mnkd gets its cash and created no more shorts.. categorically no one can argue that mnkd are not trying to do what that can to protect the shareholders. I really do feel what they have done here as very clever.. they have outflanked the shorts. There is no good news currently priced in. Just a whiff of good news and the shorts will have to pay through the nose to suppress the price. It will be a beautiful thing to watch.
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Post by kc on Nov 10, 2015 10:29:42 GMT -5
Perfect time to take the company private when the share price is so beat down. You just never know what is around the corner.
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Post by mindovermatter on Nov 10, 2015 10:31:19 GMT -5
Perfect time to take the company private when the share price is so beat down. You just never know what is around the corner. You do realize if he does this, he'll screw over the vast majority of his retail investors which means the vast majority of people on this board who defend him regardless of what he does? Al taking the company private here would be the ultimate stab in the back to retail investors. E tu Al? |
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Post by parrerob on Nov 10, 2015 10:40:29 GMT -5
Perfect time to take the company private when the share price is so beat down. You just never know what is around the corner.
When We will know who are these Israelian funds ? can be funds under Alfred M. controll ?
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Post by bradleysbest on Nov 10, 2015 10:51:39 GMT -5
Good question Rob!
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Post by kc on Nov 10, 2015 11:00:40 GMT -5
Perfect time to take the company private when the share price is so beat down. You just never know what is around the corner. You do realize if he does this, he'll screw over the vast majority of his retail investors which means the vast majority of people on this board who defend him regardless of what he does? Al taking the company private here would be the ultimate stab in the back to retail investors. E tu Al? I have a big investment too in the company. My cost ranges from 10 down to 2.75 I would probably not come out whole if they took it private but that is always the risk we take as investors. |
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Post by anderson on Nov 10, 2015 11:06:51 GMT -5
This seems like one of those westerns where to good guys and bad guys meet in the main street at high noon. All the shorts and all the longs know when and where to meet to fight over the closing price. It should be interesting day on the TASE exchange that day.
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Post by mindovermatter on Nov 10, 2015 11:07:27 GMT -5
You do realize if he does this, he'll screw over the vast majority of his retail investors which means the vast majority of people on this board who defend him regardless of what he does? Al taking the company private here would be the ultimate stab in the back to retail investors. E tu Al? I have a big investment too in the company. My cost ranges from 10 down to 2.75 I would probably not come out whole if they took it private but that is always the risk we take as investors. I can tell you that Al isn't taking the company private. It would make no sense given the move to TASE and issuing 50 million more shares. |
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