|
Post by yash on Nov 9, 2016 10:41:58 GMT -5
"There are no future obligations to Sanofi." what does it mean matt?
|
|
|
Post by matt on Nov 9, 2016 10:47:19 GMT -5
"There are no future obligations to Sanofi." what does it mean matt? I read that to mean that the obligations of the collaboration agreement are over, which is what allows the company to take the unearned income off the balance sheet and into income. The balance sheet still has the $71 million secured loan from Sanofi that will have to be repaid, and Sanofi still has the insulin put obligation. Those will continue on until paid in full.
|
|
|
Post by yash on Nov 9, 2016 10:48:24 GMT -5
Thanks matt for the clarification.
|
|
Deleted
Deleted Member
Posts: 0
|
Post by Deleted on Nov 9, 2016 11:00:59 GMT -5
Welp,
From the 2nd qtr 10Q
At June 30, 2016, the estate of Alfred E. Mann beneficially owned approximately 32.1% of our outstanding shares of capital stock, including shares held in the Alfred E. Mann Living Trust, Mann Group LLC, Mannco LLC, Biomed Partners, LLC and Biomed Partners II, LLC (collectively, the “Mann Affiliated Entities”).
From the 3rd qtr 10Q today
At November 1, 2016, the estate of Alfred E. Mann beneficially owned approximately 27.7% of our outstanding shares of capital stock, including shares held in the Alfred E. Mann Living Trust, The Mann Group LLC and Mann Medical Research Organization (“MMRO”) (collectively, the “Mann Affiliated Entities”).
So they sold off approx 21 million shares over the quarter. outstanding shares increased from 425 to 475 mil due to dilution?
|
|
|
Post by therealisaching on Nov 9, 2016 11:03:11 GMT -5
from the 10q's
As of August 1, 2016, there were 478,048,448 shares of the registrant’s common stock, $0.01 par value per share, outstanding
As of November 1, 2016, there were 478,376,869 shares of the registrant’s common stock, $0.01 par value per share, outstanding
|
|
Deleted
Deleted Member
Posts: 0
|
Post by Deleted on Nov 9, 2016 11:03:59 GMT -5
Today's sec submission is pretty much as expected. Sales and cash are as projected. The deal with sny has wound down as expected. At the end of it, we're still looking for the same things - partnerships, RLS money, sny money, sales, deals. The cash runway is as short as feared, so there's no time to wait and see when it comes to cash.
|
|
|
Post by yash on Nov 9, 2016 11:11:04 GMT -5
Total Shares Mann % 425 136.425 32.1 475 136.425 28.7
So, seems like no selling by Mann estate
|
|
|
Post by therealisaching on Nov 9, 2016 11:21:27 GMT -5
Total Shares Mann % 425 136.425 32.1 475 136.425 28.7 So, seems like no selling by Mann estate Mod's, I apologize for this confusion. I was looking at the 2nd q which showed the o/s shares in Aug after the financing. The 32% was measured as of 6/30.
Not sure if you want to delete a bunch of these posts or just ring a bell of shame at me & throw rotten vegetables my way. I'm ok with either.
|
|
|
Post by brotherm1 on Nov 9, 2016 11:33:38 GMT -5
Regardless - it's good to see they still have the shares
|
|
|
Post by silentknight on Nov 9, 2016 13:40:19 GMT -5
I don't claim to be a financial expert by any means, but a few things stood out to me.
1) MNKD reported deferred revenue from SNY that caused an earnings beat, but this revenue was received earlier and has probably already been spent, which is why you only see 35.5 million as cash on hand.
2) Actual sales of Afrezza came in at $0.6 million with a cash burn rate for the quarter of $23.5 million.
So we sit at $35.5 million of money available to MNKD. I'm not sure but I'm guessing that probably includes the $25 million required to be kept on hand for Deerfield and MNKD probably has $10.5 million left in the coffers for operations. That's more or less one quarter's worth of cash before financing of some sort is required.
That's a pretty dire situation to be in. Three months of sales resulted in a grand total of $600,000 in revenue and that's the best they can do with a full time sales force devoted to selling their product? I'll wait for the call but those numbers are UGLY.
|
|
|
Post by op2778 on Nov 9, 2016 13:58:24 GMT -5
Totally agree with you Silentknight. As i posted 4hrs ago (MNKD ER words, not mine): As discussed below in "Liquidity and Capital Resources", if we are unable to obtain additional funding, there will continue to be substantial doubt about our ability to continue as a going concern. Our business is subject to significant risks, including but not limited to our ability to successfully market and sell Afrezza, our ability to successfully manufacture sufficient quantities of Afrezza and the risks inherent in our future clinical trials and the regulatory Read more: mnkd.proboards.com/thread/6640/reports-third-quarter-financial-results?page=3#ixzz4PXVW3byd
|
|
|
Post by silentknight on Nov 9, 2016 14:42:08 GMT -5
What's more concerning is that they haven't obtained said financing, which means they might not. With 10.5 million left to keep the lights on and a burn rate, even lowered to 7 mil per quarter, MNKD has at most 6 weeks to find additional financing, or tap the Mann Group loan/ATM dilution, assuming they have to keep $25 mil on hand to meet Deerfield's requirements.
As matt stated a while ago, trying to find financing now, at the end of the year is a very very bad sign in my opinion. If they've waited this long, you could read the tea leaves that a good deal isn't going to be had. Not encouraging that they're quite literally up against the wall.
|
|
|
Post by derek2 on Nov 9, 2016 14:53:44 GMT -5
What's more concerning is that they haven't obtained said financing, which means they might not. With 10.5 million left to keep the lights on and a burn rate, even lowered to 7 mil per quarter, MNKD has at most 6 weeks to find additional financing, or tap the Mann Group loan/ATM dilution, assuming they have to keep $25 mil on hand to meet Deerfield's requirements. As matt stated a while ago, trying to find financing now, at the end of the year is a very very bad sign in my opinion. If they've waited this long, you could read the tea leaves that a good deal isn't going to be had. Not encouraging that they're quite literally up against the wall. The remaining portion of the Mann Group LOC serves to satisfy the $25M requirement, so the cash does not need to be set aside and will thus last longer. Mind you, they've already burned though $15M of the $35M since that $35M was as of Sept 30. Leaves enough until Jan, since it looks like they will not make the mandatory 2016 insulin purchase from Amphastar.
|
|
|
Post by BlueCat on Nov 9, 2016 14:59:49 GMT -5
Totally agree with you Silentknight. As i posted 4hrs ago (MNKD ER words, not mine): As discussed below in "Liquidity and Capital Resources", if we are unable to obtain additional funding, there will continue to be substantial doubt about our ability to continue as a going concern. Our business is subject to significant risks, including but not limited to our ability to successfully market and sell Afrezza, our ability to successfully manufacture sufficient quantities of Afrezza and the risks inherent in our future clinical trials and the regulatory Read more: mnkd.proboards.com/thread/6640/reports-third-quarter-financial-results?page=3#ixzz4PXVW3bydJust to be clear, the above has been there consistently (and as required), for each quarterly. Now, perhaps it is more relevant and certainly conversational than previous quarters. But the above is boilerplate and we shouldn't make it out to be more than that.
|
|
|
Post by silentknight on Nov 9, 2016 15:13:39 GMT -5
Agreed Q2U. I wasn't attempting to fan the fires or beat the bankruptcy drum, but rather to put the situation into context for where we are today. The issue has already been there, creeping up on us, but it's very very real now.
|
|