IMGN board of Directors and management voted to give themselves a fat bonus (2x their salary + target bonus) in the event they were terminated. THis was approved by shareholders back in November. Also, IMGN filed to give notice the right to issue another 3.1MM shares. Given these 2 actions here is what I see play out. IMGN price will continue to run up unitil approval ($18). On approval in Feb 26th, IMGN price may go up ($22-24). At this time, mangement may take some money off the table (3.1MM shares dilution) which will drop IMGN back down to $20-$21. Given that IMGN is cash and pipeline rich, there may be a takeover with a premium so end price will be $25-$26. When is all said and done, I am looking at 60% return from current price.
The list of events may be true but not the numbers.IMGN price will continue to rise until approval($16).On approval it may reach $16-$17 max and now the dilution news will break out and price will drop to $15. Again 2-3 years of hanging around $12-$15 until mgmnt finds something new to screw up !
From Motley Fool - "and let me tell you, if T-DM1 is approved and Roche doesn't purchase ImmunoGen within a few months, we could be looking back in 10 years at one of the biggest "could of, would of, should of's" of all-time! The fact that ImmunoGen has so many collaborative partnerships could be a minor stumbling block, but I doubt it'd throw the possibility of a deal out the window. Sanofi could also make a case for purchasing ImmunoGen with three compounds currently in various early and mid-stage trials, but I stand by my assessment that Roche makes the most sense as a potential suitor"