very smart move by the company - HZNP also provided guidance for non-gaap profitability, means Vimovo will be accreditive to earnings almost right from the beginning with projected FY14 US sales of around $50 mln.
Company got rid of the old debt, acquired accreditive US rights for a new drug and projected profitability and no further dilution going forward. That's what I call great.
Stock should move up big time going forward. Investors should buy any dips.
This transaction much bigger. It raises 1$50M and they use $70M to will pay off all the old debt.
19M for call option transaction to make the transaction less dilutive and I'm not sure but maybe it will mitigate the buyers from shorting the common on a hedge. AZN will keep responsibility until transferred to HZNP.
Since it's complicated hard to say for sure how stock would react. My guess is it could go down initially but if great value is seen in selling Vimovo then it could even pop. Also I think it's a positive they're getting rid of that miserable current debt with its covenants.
You have your answer Marc, the stock reacted superbly, too bad you sold all your shares. How's ISIS working out? Seems you can't leave this one alone, admit you made a huge mistake selling all of your shares $1.00 to $1.50 ago, PPS.