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Post by sportsrancho on Apr 11, 2016 8:49:29 GMT -5
Seems the market likes it:-)
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Post by pengiep on Apr 11, 2016 8:55:16 GMT -5
I'm guessing it's because this indicates MNKD will do what's necessary to remain a going concern. Lots of the angst reflected in share price may have been because some thought MNKD was going belly up. This shows they will fight. And get the time necessary to prove Afrezza and Technosphere's incredible value.
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Post by tayl5 on Apr 11, 2016 8:57:33 GMT -5
Just to be clear for the folks who seem a bit fuzzy on the difference between increasing the share count and dilution, the increase that the company is proposing does not change your ownership percentage. If you own 1% of the existing shares (lucky you!) and the proposed increase occurs you will still own 1% of the company. It's only when the company actually does a secondary offering or other sale of shares that you experience the dreaded dilution. Of course, you own 1% of the money the company raised through the sale but the price of your shares will be proportionally lower.
Increasing the share count expands the options available to management, including their ability to defend against a hostile takeover. If you think management is doing a good job and will use those options appropriately, then vote for the amendment. If you'd prefer to limit management's financial options, vote against.
Regarding the incentive plan proposal, a while back we were discussing why a senior executive like Michael Castagna would join a small, beleaguered enterprise like MannKind. Receiving significant equity compensation is likely a key reason. Those shares or options might also keep key employees who are thinking of taking another job around for a few more years.
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Post by sportsrancho on Apr 11, 2016 9:00:34 GMT -5
I vote yes!!!!
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Post by suebeeee1 on Apr 11, 2016 9:02:54 GMT -5
Whatever it takes. 2 months ago, we were at $.67/ share. I bought at 76 cents a share and I'll buy more if they use these shares for a secondary sometime in the future. To succeed, MNKD must first survive!
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Post by mnholdem on Apr 11, 2016 9:25:56 GMT -5
Keep in mind that MannKind already has 550 million authorized shares, but has only 428 million shares outstanding. So they hadn't exhausted their ability to raise cash. However, authorization of 700 million shares takes away any leverage that potential buyers/partners may think they have over MannKind.
If approved, MannKind will have 272 million shares that they are authorized to use to generate cash for various activities. If market plans and/or other announcements were to drive the share price to $4, MannKind could literally raise $1B, saying goodbye to ongoing concerns and to any leverage that BPs may think they have in negotiating with this company.
As tayl5 pointed out, having authorized shares doesn't mean you have to use them immediately at an historically low price point. |
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Post by uvula on Apr 11, 2016 10:05:07 GMT -5
The conference call is in my newsfeed but the proxy statement is NOT. Is it possible that the stock is UP because of the CC and it has nothing to do with the proxy statement? If so the stock could go down when people find out about the proxy statement?
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Post by tchalaa on Apr 11, 2016 10:06:53 GMT -5
As a financial management strategic approach I can see what some few are saying, but as I mentioned it will be better to show us the light (Vision and target for the next 6 months : Fiduciary duties) first because you never know where the next hole is in darkness.
"It feels better seating near somebody playing with a gun without a bullet and it definitely feels very fearful uncomfortable seating near somebody playing with a gun with a bullet "
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Post by peppy on Apr 11, 2016 10:11:45 GMT -5
The conference call is in my newsfeed but the proxy statement is NOT. Is it possible that the stock is UP because of the CC and it has nothing to do with the proxy statement? If so the stock could go down when people find out about the proxy statement? IMO, this is high volume short covering. What is going on today with price and volume is professional vs retail. They know.
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Post by slugworth008 on Apr 11, 2016 11:11:46 GMT -5
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Post by end2war on Apr 11, 2016 12:11:05 GMT -5
Does the increase in shares point toward a deal that is being negotiated? If MNKD is going to grant a licence to someone to distribute Afrezza outside the US and get a cash infusion, my question is would that someone also get a large position in MNKD, for example, 250 M shares? The speculation is that AMGN or possible Verily will play some part in Afrezza development makes sense. If one of them, or both, were to fund MNKDs next phase of development, wouldn't they want a large ownership position? A big question would be what price they pay for the shares? This might depend on what Management says about development efforts in the upcoming call. Something is definitely brewing, and I don't think MNKD intends to do a secondary with the stock. More likely it is for a deal.
We know how large the diabetics market is.And, it's growing at a rapid rate. We know that Afrezza works well, at least for a respectable group of users. And, it appears to be safe. It is the perfect opportunity for a large pharmaceutical company not currently in the insulin market to gain a foothold. By a significant stock position in MNKD, get the licensing rights to a Afrezza in one or more countries outside the United States, spend the development money required, and gain a substantial market share for Afrezza.
SNY did not want to cannibalize its own insulin products, and limited its investment, in part, because it did not have a substantial ownership position in MNKD. However, a large pharmaceutical company that takes a big position in MNKD stock, and makes the investment to get Afrezzathe market share it deserves, will achieve stock appreciation, and eventually by the remaining shares of MNKD if the gamble pays off. Many big buyouts have occurred in these two steps.
Something is brewing. Trying to connect the dots is notoriously difficult; however, MNKD needs a deal, needs the cash, and needs foreign distribution. It needs help in improving the label, it needs help in getting regulatory approval abroad, and the logic of such a deal is very compelling, in my opinion.
Certainly food for thought.
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Post by cjc04 on Apr 11, 2016 12:57:44 GMT -5
Couple questions....
Do shareholders who are lending shares to shorts need to pull them back to vote them?
The proxy states that non voted shares are counted as NO votes. Isn't it normally the other way around? Non voted shares go with the bod?
I'm sure they're non issues, between Manns shares and the inst who are on board they've got 50% covered.
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Post by nylefty on Apr 11, 2016 13:05:34 GMT -5
Does the increase in shares point toward a deal that is being negotiated? If MNKD is going to grant a licence to someone to distribute Afrezza outside the US and get a cash infusion, my question is would that someone also get a large position in MNKD, for example, 250 M shares? The speculation is that AMGN or possible Verily will play some part in Afrezza development makes sense. If one of them, or both, were to fund MNKDs next phase of development, wouldn't they want a large ownership position? A big question would be what price they pay for the shares? This might depend on what Management says about development efforts in the upcoming call. Something is definitely brewing, and I don't think MNKD intends to do a secondary with the stock. More likely it is for a deal. We know how large the diabetics market is.And, it's growing at a rapid rate. We know that Afrezza works well, at least for a respectable group of users. And, it appears to be safe. It is the perfect opportunity for a large pharmaceutical company not currently in the insulin market to gain a foothold. By a significant stock position in MNKD, get the licensing rights to a Afrezza in one or more countries outside the United States, spend the development money required, and gain a substantial market share for Afrezza. SNY did not want to cannibalize its own insulin products, and limited its investment, in part, because it did not have a substantial ownership position in MNKD. However, a large pharmaceutical company that takes a big position in MNKD stock, and makes the investment to get Afrezzathe market share it deserves, will achieve stock appreciation, and eventually by the remaining shares of MNKD if the gamble pays off. Many big buyouts have occurred in these two steps. Something is brewing. Trying to connect the dots is notoriously difficult; however, MNKD needs a deal, needs the cash, and needs foreign distribution. It needs help in improving the label, it needs help in getting regulatory approval abroad, and the logic of such a deal is very compelling, in my opinion. Certainly food for thought. Congratulations on your very first post! Or is it? Something very familiar in your writing style. |
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Post by sweedee79 on Apr 11, 2016 13:50:40 GMT -5
Dilution (or the possibility of dilution) beats BK (or the possibility of BK) by a mile, so I'm okay with the increase to 700 M. I'm not too happy that 10% of those shares will end up going to executives in the form of stock grants. It shows kind of a tin ear on the part of MNKD leadership. I agree... dilution beats BK .. Ive already resigned myself to this.. I don't like it, but it is what it is.. And it looks to me like they are only making that option available to them if they need it .. its going to take a lot of dollars to get this turned around.. but once it does turn around at some point they would buy back those shares.. in the long run we will be ok if they succeed with their new plan... it appears to me they have a plan, which is good.. They have had the opportunity now to learn from the past..... I think despite all of the negatives... there are positives.. so if we have to do this.. then that is what we have to do.. When things start getting better.. and we prove ourselves we will have more options available to us.. |
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Post by end2war on Apr 11, 2016 14:04:22 GMT -5
All posts by me are under one identity.
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