And hated the execution by management more!!
Planning for a reverse split while increasing the number of shares for employee stock options is only taking from shareholders and giving to management. I've long been a supporter of this company but their idea to do a reverse split is the worst decision I've ever heard. Every time a penny stock does a reverse split it turns out bad for share holders. If they are having problems keeping this stock listed at a sub dollar price then build something worthwhile, sell lots of product and raise the share price by creating value for everyone. A reverse split is pure and simple destruction of value for shareholders and the idea that they would do that makes me question why anyone should keep a dime here. If they want to show shareholder support then the executive team would drop their salaries to near zero and build their share value to tens of dollars not tens of cents.
Shareholders deserve better, shame on management for not giving them better!!!
Several of the top CEOs ever have taken salaries of just one dollar per year. Some even didn't take additional stock grants and let key employees take their share instead.
If this company can't make it off the products that they've invented then perhaps they should be selling some of their technology to companies that can. The PVC technology sounds brilliant and I'm sure several major players would love to own it... Perhaps that should be the first to go
I am overly invested here and I've been letting it ride without watching it too much but today I tuned in thinking of making another investment and learned that management if prepping for a stock split... That idea makes me want to sell sell sell rather than buy buy buy.
I've seen stocks like this go from 60 cents to six hundredths of a cent and IMHO a reverse split is a great way to make that happen.
Currently long on Metabolix but I'm not sure for how much longer...
You would expect shorts to start covering when M confirm they will be signing a definitive schedule and commercial contract for PHA manufacturing later this year, (excerpt from last night presentation).. they year is almost over!!!!!
I never knew what to make of Joe Hill. It seemed pretty obvious that they've had a cash crisis for some time and you can't tell from the outside what he planned on doing about it. Given the restructured size of the company, I don't see a need for his pay level. I also like Johan taking a stronger role in the calls as the company will be decided on the success generating demand for the new focused offerings as well as the delivery (on time and on budget) of the new factory. Neither of these issues really are CFO dependent so running with a Chief Accounting Officer is fine with me.
Sentiment: Strong Buy
Ive had this stock since 2010 and have lost more than i care to share. I share your sentiments and typically when i see a reverse split i like to do the same. Unfortunately i have too much skin in the game to do so.
It has been two hours since the market has opened and the stock has still not traded 1 share. I hope the reason that it has not traded is because there is a trading halt and that you are right about some kind of announcement today at the earning's announcement.
I share your sentiment Jos but today is a do or die for M, Schuler and co did not invest for nothing, they are there to make money, I expect very interesting announcements this afternoon for a change, we will see
45 minutes after the market open on the day of the earnings conference call and the stock has not even traded one share. No one gives a damn about this company any more. Even the market maker is disgusted with it.
Why even listen to the call. Nothing has changed.
Research into stock splits reveals...
Stocks tend to gain 3% during the month leading to a forward stock split.After a stock splits, the price performance is the same as that shown by the S&P 500 index.Three months after a reverse stock split, 54% of them showed losses.The average gain 3 months after a reverse stock split is 16%, but the median is a loss of 10%. That suggests a few trades skew the average upward.
Here you go:
Submission of Matters to a Vote of Security Holders, Other Events
Item 5.07. Submission of Matters to a Vote of Security Holders
On October 30, 2014, the Company held a Special Meeting of Stockholders (the "Special Meeting"). As of October 1, 2014, the record date for the Special Meeting, 85,094,640 shares were issued, outstanding and entitled to vote. At the Special Meeting, the Company's stockholders approved amendment to the Company's Certificate of Incorporation to increase the number of authorized shares of the Company's common stock, authorized the Company's Board of Directors to amend the Company's Certificate of Incorporation in the future to effect a reverse stock split and approved the Company's 2014 Stock Option and Incentive Plan.
The final voting results on these matters were as follows:
1. To approve an amendment to the Company's Certificate of Incorporation to increase the number of authorized shares of the Company's common stock, par value $0.01 per share ("Common Stock") from 100,000,000 to 250,000,000:
Votes For Votes Against Votes Abstained Broker Non-Votes 76,228,882 2,998,475 218,040 153,361
2. To authorize the Board of Directors of the Company to further amend the Company's Certificate of Incorporation to effect a reverse stock split of the Common Stock by a ratio in the range of 1-for-2 to 1-for-10, with the Board of Directors having the discretion as to whether or not the reverse split is to be effected, and with the exact ratio of any reverse split to be set at a whole number within the above range, as determined by the Board of Directors in its discretion; provided that the reverse split must be effected, if at all, no later than December 31, 2015:
Votes For Votes Against Votes Abstained Broker Non-Votes 77,085,271 2,341,486 171,997 0
3. To approve the Company's 2014 Stock Option and Incentive Plan:
Votes For Votes Against Votes Abstained Broker Non-Votes 62,992,217 2,004,232 170,785 14,431,524
Yep. Save cash?... to what end? As has been repeated, sell now or try to make it happen. I'll be interested to see with whom, if anyone, they did the PLA studies. And there's still the case of Pharmafilter installing another unit in 2015 in Rotterdam. When the deuce are they gonna start a pilot plant? Maybe my brain needs a PET scan.
my guess is the same as yours. With the cc coming up I guess there is no pressure to explain details now unless they included sizable cash to mblx. I doubt the cash idea is likely and I could see how both would rather have mblx take a share of the business or guaranteed minimum purchases of pha.
Looking what mblx must accomplish, I don't know if the the cash savings here is nearly as important as freeing up more focus business model driven by new CEO. They seem more out of final product game (with respect to PHA business) and more inline with PHA as an additive (even the German company would be using it as a part of formulations).
The more tightly aligned and streamlined MBLX specialty chemical company makes sense. Hopefully Shaulson has the company aligning around what he sees as core competencies and best opportunities.
Sentiment: Strong Buy
No clarification on "acquire" but I'm gonna guess that the " Security of supply..." and "...mutually assured through contract negotiations." means licensing of some kind. Interesting find.
Here is the translated text from Akro's site today. Happy MBLX's employees were looked after and that MBLX will be more focused on where margins should be bigger. In any event, here is Akro's statement:
AKRO-PLASTIC to acquire parts of the Metabolix bio-plastic portfolio
AKRO-PLASTIC GmbH, manufacturer of engineering plastics compounds with headquarters in Niederzissen, in the Rhineland-Palatinate region of Germany, will acquire a product range of biodegradable, compostable compounds from Metabolix, Inc. (Cambridge, Massachusetts / USA), a manufacturer of polyhydroxyalkanoates (PHA).
The product range, developed and successfully launched by Metabolix under the brand name "Mvera", will henceforth be marketed and further developed by AKRO-PLASTIC GmbH through its BIO-FED branch located on BioCampus Cologne, Nattermannallee 1, Cologne, Germany. Security of supply for customers and the transfer of all required technologies and IP to AKRO-PLASTIC have been mutually assured through contract negotiations. Moreover, the two companies intend to continue working together in future in the area of PHA products and blends. All European employees of Metabolix will continue their work with AKRO-PLASTIC at the BIO-FED branch
Sentiment: Strong Buy
Metabolix to Present Data Showing That Biobased PHA Copolymers Deliver Key Performance Improvements in PVC and PLA Compounds
Company to Present Data on Mirel® Performance Additives at Vinyltec 2014 and ADDCOM Conferences
Actually that made a nice profit on shorting. Though there were other reasons for shorting at that point and nothing to do with MM's