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Post by mnkdfann on Apr 3, 2020 22:06:31 GMT -5
I would think that MidCap would be rolling up their sleeves and doing the paperwork for them to make sure MNKD gets one of these loans and abides by its covenants. If you are dealing in high-risk lending and your borrower can basically get ten million dollars of free liquidity just for keeping all their employees for a few month.....why wouldn’t you aggressively pursue that? I'm not sure I see that. MidCap certainly doesn't want Mannkind to fail. But assuming MidCap believes Mannkind is still an ongoing business for the foreseeable future, wouldn't MidCap prefer Mannkind borrow at a higher interest rate from it? Instead of facilitating borrowing at low rates from somewhere else, that is? And if Mannkind's cash on hand dips, doesn't Mannkind pay a higher interest rate to MidCap?
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Post by mnkdfann on Apr 2, 2020 18:35:15 GMT -5
Maybe he died (hope not). MNKD board members never seem to be removed otherwise, as incompetent as they may be. No, he's still listed as the Chairman and CEO of another company and there have been no obits for him.
Hank Nordhoff currently serves as Chairman and CEO of Banyan Biomarkers, Inc. a biotech company developing a blood test to objectively diagnose traumatic brain injury.
He’s also now 78. He may just want to slow down a bit. Or concentrate on bigger / more exciting ventures. Who knows. interesting interview with him: www.mcall.com/sdut-retired-ceo-works-hard-giving-back-2012may21-htmlstory.html
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Post by mnkdfann on Apr 2, 2020 12:31:49 GMT -5
I still can’t get over the fact that they rated themselves extra credit in certain categories. Why even bother having a structure at all if you’re going to pull this kind of shenanigans. It’s like a student failing math and science but still has a 4.0 GPA because they got an A++++++++ in P.E. It tells me all I need to know about this current BoD and this management team. Absolutely no accountability and shameless. I wonder if it is remotely possible that the members of the Compensation Committee are actually embarrassed by the points they assigned in some categories (e.g. see below), but perhaps they were legally obliged to assign them insomuch as that is what the agreed upon 'quantitative' rating structure told them to do? Perhaps they will revise this going forward. And, of course, I assume the execs have/had the option to turn down the these performance-based cash payments. Deliver cash on hand expectations Weight of 20% Assessed quantitatively on the basis of cash and cash equivalents plus cash available from committed financing sources at year-end that exceeded a specified percentage of total actual 2019 net cash used in operating activities. 40/20 points
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Post by mnkdfann on Apr 2, 2020 11:22:35 GMT -5
I still can’t get over the fact that they rated themselves extra credit in certain categories. Why even bother having a structure at all if you’re going to pull this kind of shenanigans. It’s like a student failing math and science but still has a 4.0 GPA because they got an A++++++++ in P.E. It tells me all I need to know about this current BoD and this management team. Absolutely no accountability and shameless. Did the use these or similar metrics in prior years? If so, did they ever assign such extra credit then?
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Post by mnkdfann on Apr 2, 2020 11:17:57 GMT -5
Inquiring minds want to know, is Lovelace Bio named after Ada (the famous mathematician) or Linda (not a famous mathematician)?
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Post by mnkdfann on Apr 1, 2020 14:14:51 GMT -5
Right. The only thing Brazil will be is interesting how well it sells at such a low price. Given Mannkind's luck, I am surprised Bolsonaro has not yet blamed the Afrezza Technosphere inhalers for the spread of Covid-19 down there.
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Post by mnkdfann on Apr 1, 2020 14:11:52 GMT -5
As I see it, if they think they are going to have to dilute anytime in 2020, the sooner the better. The markets are not going to be doing any favours for MNKD's share price anytime soon, imo.
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Post by mnkdfann on Mar 29, 2020 10:48:01 GMT -5
Brazil is not a catalyst, if it was, Castagna would have been talking about it in details in his investor pitches, earnings calls, etc. Instead we get vague answers or crickets. If anything, it will allow them to offload supply of Afrezza and pontentially lower COGS a bit, but nothing more than that. That may be, but it was listed as being one in the very first post in this thread. No one really seriously argued against that until your post.
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Post by mnkdfann on Mar 20, 2020 16:20:22 GMT -5
They might be able to rent an empty hotel cheaper per bed than a cruise ship. There are empty dorm rooms at state owned universities, many of which are nearby to their research hospitals. Many dorms are still occupied by out of state / out of province and foreign students. Universities are not (generally speaking) shutting down. They are just moving to online courses. But many if not most students in dorms are remaining where they are. And the universities are still providing food services to these students, along with many other services they usually offer.
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Post by mnkdfann on Mar 19, 2020 18:08:06 GMT -5
The ship hospitals would be for non Corona virus patients so that the regular hospitals would have space for Corona virus patients. He's right. The PR said: "With the continued spread of COVID-19 expected to exert added pressure on land-based healthcare facilities, including a possible shortage of hospital beds, Carnival Corporation and its brands are calling on governments and health authorities to consider using cruise ships as temporary healthcare facilities to treat non-COVID-19 patients, freeing up additional space and expanding capacity in land-based hospitals to treat cases of COVID-19."
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Post by mnkdfann on Mar 19, 2020 17:11:05 GMT -5
... One other thing, not sure how many hospital ships there are, or whether the gov plans on refitting other naval ships as floating hospitals, but c'mon, look at all the really new, nice cruise ships just floating around doing nothing - rent those and get them refitted quick - a way to help the cruise line industry and to deal with this friggin mess. The bigger issue is equipping the floating and non-floating hospitals with all they need. Political pot-shots are down, but they should be totally OUT! All the people that dislike Trump might warm up to him some if he just said, "Look, as you all know, I like to spar roughly with my political enemies. But this is way too serious an issue, I will not longer respond to those who attack me, no time or energy for that, and you know what they're trying to do, anyway." Psychologically, not sure he can do that, but I think it would be a very helpful move. At least one cruise line announced a little earlier today that it wants to do something just like that. There is some skepticism as to whether this is really practical, or just a means to a cynical hidden bailout. seekingalpha.com/news/3553483-carnival-offers-cruise-ships-temporary-hospitals-in-turn-for-industryCarnival (NYSE:CCL), which just cut Capex and expenses due to the ongoing virus issues and cruise hiatus, extends offer to Governments and health authorities to use some ships as temporary hospitals. Select ships from Carnival Cruise Line, Holland America Line, Princess Cruises and P&O Cruises Australia are to be made available at a price that will cover "only the essential costs of the ship's operations while in port.'' Ships are estimated to be able to serve up 1,000 hospital rooms and be converted "quickly," with up to 7 intensive care units.
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Post by mnkdfann on Mar 17, 2020 22:01:48 GMT -5
1% of 100 million cases of Covid-19 in the US is 1 million patients with ARDS. Not insignificant. There is currently only 4,226 confirmed cases in the US. Three hours later, and it is up to 6,499. Two weeks ago, the number was 108. That doesn't mean I think this Mannkind refocusing effort is worthwhile, or going to amount to anything. I have huge doubts.
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Post by mnkdfann on Mar 17, 2020 19:06:58 GMT -5
There is currently only 4,226 confirmed cases in the US. Key word being “confirmed” because of the abysmal lack of testing kits available to common people. The actual number is much higher. As of a moment ago, there were 23 reported covid-19 deaths in the USA today. Working backwards, one can use that to reasonably deduce that there are over 17,000 true cases today (most of which are not yet diagnosed). That calculation, and others, are described in this article: medium.com/@tomaspueyo/coronavirus-act-today-or-people-will-die-f4d3d9cd99ca
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Post by mnkdfann on Mar 17, 2020 13:00:39 GMT -5
My thinking was that they would still be able to access some credit, but perhaps at higher rates than Midcap's and from perhaps a different source. Does the Midcap arrangement preclude Mannkind from seeking credit from third parties? I'm not overly familiar with the precise details. You think that a different source will be willing to loan as subordinate to Midcap or that Midcap will be generous and offer to be subordinate to new lender? Doesn't seem like Midcap agreement would absolutely preclude other sources of credit as long as they are subordinate. IDK which way it would work out, I'm just trying to interpret the info at the link I gave (and assuming that info is correct). The SBA loans it describes are not available if the business has access to credit. I assume Mankind is still in good enough shape that it could get credit from somewhere, at a high enough rate, for the max. $2 million the SBA would otherwise provide. Also, the PR Mannkind released today (about refocusing and new collaborations) makes me think it isn't in bad enough shape to need one. I guess I think this thread is just sort of pointless. It seems to me the answer to the OP's question "What are the chances of MNKD securing one of those COVID-19 low interest SBA loans for maybe $50 million or $100 million?" is simply nil to none, for the several reasons I identified.
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Post by mnkdfann on Mar 17, 2020 12:36:22 GMT -5
Also, from the link I posted earlier: "These loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact. The interest rate is 3.75% for small businesses without credit available elsewhere; businesses with credit available elsewhere are not eligible. The interest rate for non-profits is 2.75%." No reason to think Mankind does not have access to credit elsewhere, is there? Even if not, as previously mentioned, the maximum size of the loan is apparently only $2 million. If there is drop in script numbers that cause MidCap 2nd tranche covenants to be missed and Midcap were to decline modifications, MNKD would then probably be in situation where they have no access to credit. My thinking was that they would still be able to access some credit, but perhaps at higher rates than Midcap's and from perhaps a different source. Does the Midcap arrangement preclude Mannkind from seeking credit from third parties? I'm not overly familiar with the precise details.
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