Fri, Mar 6, 2015, 2:34 AM EST - U.S. Markets open in 6 hrs 56 mins

Recent

% | $
Quotes you view appear here for quick access.

Questcor Pharmaceuticals, Inc. (QCOR) Message Board

  • wanna_million wanna_million Oct 16, 2012 10:35 AM Flag

    James E. Flynn Deerfield Capital Bio

    He knows his science....not just money:

    Mr. James Edward Flynn, Jim, is the President at Deerfield Management Company, L.P. Previously, he worked in biotechnology and pharmaceutical equity research at Kidder, Peabody & Co., and was a Vice President of Corporate Development at Alpharma, where he completed licensing transactions and managed the company’s strategic review and planning process involving manufacturing, product development, and sales and marketing. Mr. Flynn was a Managing Director at Furman Selz covering pharmaceutical and medical device industries. He serves in the Board of Directors of eCaring LLC. Mr. Flynn has degrees in Cellular and Molecular Biology and Economics from the University of Michigan.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • Anyone care to research how his other investments are doing?

      Relationships of DEERFIELD CAPITAL LP

      Mutual Connections

      Positions / Titles

      aaiPharma Inc
      SC 13 Ownership show details and sources...

      Arena Pharmaceuticals Inc
      10% Owner, SC 13 Ownership show details and sources...

      Arnold H Snider
      GENERAL PARTNERPAST show details and sources...

      Arnold Snider
      STAFF – SupportPAST show details and sources...

      Atherogenics Inc
      SC 13 Ownership show details and sources...

      Ats Medical Inc
      SC 13 Ownership show details and sources...

      Cerus Corp
      SC 13 Ownership show details and sources...

      Cotherix Inc
      SC 13 Ownership show details and sources...

      Cyclacel Pharmaceuticals Inc
      10% Owner, SC 13 Ownership show details and sources...

      Cypress Bioscience Inc
      SC 13 Ownership show details and sources...

      Deerfield Special Situations Fund LP
      BusinessConnection From: 1/17/2006 show details and sources...

      Derma Sciences Inc
      SC 13 Ownership show details and sources...

      Familymeds Group Inc
      SC 13 Ownership show details and sources...

      Fischer Imaging Corp
      10% Owner, SC 13 Ownership show details and sources...

      Hi Tech Pharmacal Co Inc
      SC 13 Ownership, 10% Owner show details and sources...

      Howard P Furst
      PARTNER show details and sources...

      InforMax
      SC 13 Ownership show details and sources...

      K V Pharmaceutical Co
      SC 13 Ownership show details and sources...

      MacroChem Corp
      SC 13 Ownership show details and sources...

      Merit Medical Systems Inc



      SC 13 Ownership show details and sources...

      Mgi Pharma Inc

      SC 13 Ownership, 10% Owner show details and sources...

      Middlebrook Pharmaceuticals Inc

      SC 13 Ownership show details and sources...

      Nabi Biopharmaceuticals



      SC 13 Ownership show details and sources...

      Natus Medical Inc



      SC 13 Ownership show details and sources...

      Nitromed Inc



      SC 13 Ownership, 10% Owner show details and sources...

      Oncosec Medical Inc



      SC 13 Ownership show details and sources...

      Palatin Technologies Inc



      SC 13 Ownership show details and sources...

      Peter F F Drake



      CO-FOUNDER, CO-FOUNDER show details and sources...

      Rigel Pharmaceuticals Inc



      SC 13 Ownership, 10% Owner show details and sources...

      Rockwell Medical Technologies Inc



      SC 13 Ownership show details and sources...

      Rotech Healthcare Inc



      SC 13 Ownership show details and sources...



      RTI Biologics Inc



      SC 13 Ownership show details and sources...



      Salix Pharmaceuticals Ltd



      SC 13 Ownership, 10% Owner show details and sources...



      Serologicals Corp



      SC 13 Ownership show details and sources...



      Sierra Health Services Inc



      SC 13 Ownership show details and sources...



      Staar Surgical Co



      SC 13 Ownership show details and sources...



      Tutogen Medical Inc



      SC 13 Ownership show details and sources...



      Wafergen Inc



      SC 13 Ownership show details and sources...



      William Slattery



      ANALYSTPAST, PORTFOLIO MANAGERPAST show details and sources...



      Zoll Medical Corp



      SC 13 Ownership show details and sources...



      Accelerate B2B Sales
      Today

      Discover your "warm paths" to targets

      You

      Target Opportunities

      Your Trusted Contacts

      Your Firm's Contacts

      Customers & Partners

      Learn More

    • I highlight this part of Flynn's letter....I think this is a definition of a SHORT SQUEEZE ...in our case the volatility was forced upon long term investors and a viable company with strong fundamentals....so why not require disclosure of short position to protect long term investors from bear raids? Here is the excerpt:

      Forcing the disclosure of short positions could have the same long-term effect as
      restricting short sales altogether for organizations that reduce risk through intelligent
      hedging. If large short positions are publicly known, there can be (and most certainly
      would be) collusion by existing shareholders to restrict borrow while purchasing shares
      of a target company. This would often force a fund to cover its short on a spike and lock
      in significant losses.

      • 1 Reply to wanna_million
      • Apparently, the Short Hedge fund managers think they are doing an overall good because of this comment form Flynn's letter:

        There do not seem to be any benefits to the reporting of short positions in the healthcare industry, nor a legitimate concern that a
        short raid on pharmaceutical company or HMO could lead to anything but volatility in
        stock price and opportunity for people to purchase stock cheaply

        Sooooooo.....I interpret Flynn's above comment to mean that after investors have been scared away via manipulative smoke screens and perhaps forced to part with their long term investments because of these bear tactics....then the same bears can come in and purchase the stock cheaply from weak hands. It is a win win proposition for the hedge funds on both the long and short side of the game.

    • here is a letter he wrote to the SEC in 2008 making a case for the necessity of shorting:
      September 29
      th
      , 2008
      Dear Secretary,
      Deerfield Management is an investment management company that focuses solely on
      healthcare companies. We have approximately $3 billion in assets, investments in over
      80 companies and a successful 15 year history of performance. Our investments are
      based on comprehensive, bottoms-up analysis of the various aspects of our healthcare
      system ranging from emerging new treatments that require clinical study to new forms of
      insurance and medical delivery. The money that we manage is predominately from notfor-profit organizations. These include university endowments and groups which support
      essential non-industry sponsored research into medical research and health-related issues.
      Deerfield has been a source of financing and stability in these turbulent times. In order to
      remain stable and perform the essential role that we do, the ability to reduce volatility and
      achieve returns in all markets through hedging is essential. The new rules and
      regulations have threatened our operations by reducing the number of healthcare
      organizations that can be shorted and by creating financial jeopardy to us through the
      publication of short positions. As I will describe, these new rules and regulations will
      reduce liquidity, reduce market participation by endowments and other important sources
      of capital, and remove a vital source of financing in poor market environments.
      The Value We Bring to Markets
      Outside of employment considerations, there are several valuable contributions that our
      firm provides. Hedge funds (that actually hedge as opposed to leverage) can provide a
      low volatility form of equity market exposure that can be maintained in all environments.
      This year, our long / short fund is up approximately 4%. Clearly our ability to have short
      exposure has been critical to this performance. If the recently implemented short
      restrictions are maintained, this fund will cease to function. To those who find shorting
      unappealing, this may seem like a positive outcome. However, like most long/short
      funds, we maintain a greater long exposure than short exposure. Right now our long
      exposure exceeds our short exposure by $500 million. What this means is that for every
      short share we cover, we have to sell even more of our long exposure. The net effect of
      removing us, like the vast majority of other similarly structured funds, is not only
      negative for liquidity, but for stock prices as well.
      The elimination of firms that hedge but do not leverage has an even more profound effect
      on the broader markets when the actions of our investors in aggregate are considered.
      Endowment funds with only the option of long equity exposure (as opposed to hedged
      equity exposure) will greatly reduce equity market participation. Many larger funds have
      close to 50% of their U.S. equity exposure through funds which hedge. These funds have strategies that differ substantially enough that they can all be equity-based but yet have
      limited correlation. Were they all to become long only, correlations would increase
      markedly and as a result capital would have to be withdrawn. Over time this would
      remove hundreds of billions of dollars from the equity markets, much more of which
      would be long investments than short sales.
      Perhaps more importantly, through our hedge fund and our private investment vehicles,
      we are a major source of funding for the healthcare industry. Each year the biotechnology
      industry requires billions of dollars in publicly raised funds to advance basic scientific
      research into human illness. Alzheimer’s disease alone, affecting 1.5 million Americans,
      fills half of the nursing home beds in this country and costs our system over $100 billion
      per year, not including lost productivity. Several companies now have promising drugs
      entering late stages of testing, but these products will cost hundreds of millions of dollars
      to adequately test. Cancer continues to kills 500,000 Americans each year, and viruses
      ravage millions more. Research into new cures holds the answer.
      In the current investment climate, there is little ability for the biotechnology industry to
      raise funds. Yet, because of our deep understanding of the industry, long-term view, and
      stable capital base, we have been able to invest over $500 million through private
      transactions into the healthcare industry since 2007. We completed a $65 million
      financing just last week at the pinnacle of market uncertainty.
      By removing the ability to short, the means to hold steady during hard times is
      eliminated. Consider how difficult it has it been to find financing for floundering
      companies when so many investment-based companies are floundering themselves. We
      are one of those who can and is stepping in. However, as these regulations undermine
      our business model, we too will lose the ability to provide support.
      The Damaging Effect of the “No Short” List and Short Sale Disclosures
      While some of the regulations may have an important temporary role, they have been
      expanded more broadly to a level where they create harm. One example of this is the
      decision by the exchanges to include HMOs, prescription benefit managers, Brookdale
      Senior Living, Inc., and Five Star Quality Care, Inc. on the list of companies that cannot
      be shorted. These companies require no assistance from the federal government and have
      no exposure to distressed securities that could threaten their viability. While it may not
      seem important who specifically is on this list for short periods of time, it has a profound
      effect on business models such as ours which require the flexibility to short these names
      in order to maintain viable. It may be worth mentioning that despite the shorting
      restrictions, HMOs have not performed any better than the market and many have fared
      worse. With the rationale for inclusion unclear, no apparent stock price benefit, and clear
      hardship to organizations like ours who provide a benefit to the sector and the market, it
      seems prudent to expeditiously remove them from this list or to create strict criteria by
      which others can properly identify appropriate inclusion criteria. Forcing the disclosure of short positions could have the same long-term effect as
      restricting short sales altogether for organizations that reduce risk through intelligent
      hedging. If large short positions are publicly known, there can be (and most certainly
      would be) collusion by existing shareholders to restrict borrow while purchasing shares
      of a target company. This would often force a fund to cover its short on a spike and lock
      in significant losses. Of course this is not possible to do on the long side and why
      disclosure is not an equivalent issue. There are additionally a host of competitive and
      financial issues specific to shorting which makes investment strategies immediately
      transparent and therefore lose value. There do not seem to be any benefits to the
      reporting of short positions in the healthcare industry, nor a legitimate concern that a
      short raid on pharmaceutical company or HMO could lead to anything but volatility in
      stock price and opportunity for people to purchase stock cheaply. The greatest good
      could be accomplished through eliminating these requirements or at a minimum
      confining them to financial stocks where there may be a rationale for oversight.
      In summary, companies such as Deerfield manage money for critical social institutions
      and provide important services to companies and to the markets, particularly in distressed
      times. We provide returns on equity investments that are uncorrelated to the overall
      equity markets. This in turn allows institutions to increase their overall exposure to
      equities. Our stable returns in poor market environments allow rational behavior to have
      an influence on otherwise irrational market movements. And we are an important source
      of financing for companies that are vital to the development of technology and the
      advancement of human health. We encourage the elimination of short sale restrictions
      and reporting requirements. To the extent these extreme measures are necessary, we
      recommend that strict criteria be established such that they are confined to areas of
      defined need.
      I appreciate your interest in our comments and am always available if I can be of any
      help in answering further questions.
      Sincerely Yours,
      James E. Flynn
      General Partner
      Deerfield Management
      (212) 551-1619

    • FYI----Deerfield has been one of the PREMIER professional healthcare investors over the last 30 years, with a track record second to none. Who knows whether they are just renting the stock or not but it very ikely shows that they believe a floor has been put in the stock.

 
QCOR
93.600.00(0.00%)Aug 14 4:00 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.
Geron Corporation
NASDAQThu, Mar 5, 2015 4:00 PM EST
Orexigen Therapeutics, Inc.
NASDAQThu, Mar 5, 2015 4:00 PM EST
Orbital ATK, Inc.
NYSEThu, Mar 5, 2015 4:02 PM EST