"Street talk" now has SEC filings to support it.....
I found this on Nasdaq.com:
- http://tinyurl.com/y3hhfv (LONG Nasdaq SEC filing link)
- 3,878,235 shares registered to sell on the open market by original investors.
- selling is broken up into three time windows.
.....1/3rd = immediately
.....2nd 3rd = March 22nd
.....last 3rd = June 20th
- none of the proceeds are going to LNOP/EZchip.
Most informative = PAGE 20:
"OFFER STATISTICS, EXPECTED TIME TABLE AND PLAN OF DISTRIBUTION"
Again, good luck to all.
IMPORTANT - - - ALL OBJECTIVE LONGS!.....
The original post in this thread (that I'm replying to) caused much dissention on this board, but based on hindsight now - my contacts' "street talk" was 100% accurate.
Here is the AMENDED FILING, reported just YESTERDAY:
You have to wonder why these original investors would want out SO badly to take such a haircut on price from recent market trading. They seem to have no faith.
Anyone with any insightful thoughts on this and/or the next 2/3rds of their shares, that they still have yet to sell?????
This might drag the stock down to or near that price level over the next few weeks or months of information vacuum IMHO.
Good luck to all honest longs and contributors here.
P.S. - It now makes a little more sense to me why so many posters came out of nowhere, attacking me and trying to discredit me - when so many oldtimers know me better than that. I'm thinking now that they may be part of the pump team, so the seller could dump their shares without the bid collapsing. Think about it. They all seemed to show up all around the same time.... as this original filing. Don't be so naive to think that this stuff doesn't happen all the time on Wall Street. They are all about the almighty profit, at any individual's cost. Beware of the gang that always seems to stick together lately and "know each other so well" to continue complimenting each other to gain credibility here. I've smelled this game before and it still stinks the same. Careful fellow longs. That's all I'm saying. Don't take everything at face value anymore. I'm getting a gut feeling that this is not going to go very well soon. Sorry, but this is how I feel right now after just finding this filing (that none of THEM seemed to find yesterday or today, coincidentally while they were continually engaging me and keeping me busy). Go ahead and deny it you scumbags. I'm now going to do some real investigating via my contacts and try to trace the facts behind all of this. I will expose the real life details to the appropriate authorities, and then on this board. They will disappear soon as a result, but their tracks cannot be covered totally. I'm on it now like Chloe on "24"........
To all honest and objective longs, interested in the truth behind the secretive actions of original VC owners and management's conveniently timed "amended" filings.......
I told you all back in January that I "heard" that there was 1-million+ shares up for sale soon, and this was posted by me BEFORE the SEC share registration filing was made.
Then the registration filing was made for these shares, and it supported what I had "heard" in the rumor mill. Arguments ensued that "a filing doesn't guarantee a sale", etc.
Now we have concrete proof that this WAS happening then, and has now been completed OUTSIDE the marketplace in a private transaction that doesn't show up on the charts (volume OR price movement).
I make this point because I strongly feel that these LARGE private transactions should NOT be allowed IMHO. It walks the fine line of manipulation due to secrecy.
Why should Wall Street firms be allowed to hide their volume exchanges and prices, merely to keep them off the charts and out of the public's eye?
You all were paying $13-15/share at the time these transactions were being made at $10.50/share. Think that's fair? Maybe you do for now, with the price at $13 still.
Think it will seem fair as that buyer slowly sells the shares back into the marketplace in smaller blocks, to all of you between $13 and $10 as the stock falls back again?
Watch what happens and try to remain objective. I am only trying to help my fellow individuals from the complex games that are played by Wall Street's MMs and fund managers.
If you don't believe me or my theories, that is fine. Just remember that if the price falls below $10/share, that seller who bought them all at $10.50 is making money now and can sell a few remaining blocks at a loss. Overall they make money on the entire deal by "managing" the order flow.
Watch for unusual news items to come from management now, when they have always been very quiet......
P.S. - For the ignorant few that need it spelled out for them and try to portray me as "hiding".... I will NEVER sell my long term core holding of this stock, until it reaches fruition or fails completely. It is a lottery ticket for me and I plan to own those shares for a very long time as the internet norm expands to VOD, IPTV, HDTV, etc. My daily posting concerns are almost always about the short term price movement of the stock and the secret actions of the manipulators behind the scenes. I should know because I used to be there and despised their mindsets.
ive been following, trading, lnop since 98 when CMVT spun em out. i watched the ez build the chip that no one said the cud build, except gilder. ive waited and waited and waited some more.
yesterday finally, 65% q over q growth.
but again there were clear negatives. the body language about lumpy sales in 07 into 08, just makes me think ov vey, not again.
now this SEC filing
long term, clear, clean pure play on the triple play. and as someone who has verizon Fios, i know the triple is the only way to go, im a huge fan.
but short term, id have to agree with MBM.
its been yrs since i read this board or posted. i remember MBM. and a couple others. does Eldad still post. id like to know his thoughts, and if he is doing ok in general.
Well, frankly, if it were ME that owned that many shares of this stock.... I would hold it for the long term and sell off small portions along the way into the uptrend volume demand. But that is just me. We don't know what these VC types will do and what each of their own internal "rules" might dictate. They may have better uses for the money in the short term, and may want to diversify out of EZchip/LNOP a little - or completely. We just don't know, but we can get some inclination imho by watching volume and price trends very closely. So far, it looks like someone may be letting go of a few shares before the Q4 report hits (maybe it will disappoint or defer revenue again). Again, this is all just my opinion - as a long term holder of the stock AND a short term swing trader of the stock. Short term, I've said it several times, I think we will trade in the 10's - and maybe even briefly in the 9's again soon. It all depends on revenue progress and volume chip shipments, as well as the overall market and chip sector too. In any event, good luck to you. I think you'll be fine holding your shares at $6/share cost basis. Just be patient and make decisions on the actual business progress of the company, rather than focusing on the shorter term trading activity of the stock price. Unless you welcome risk and are an experienced trader, of course.
my first post so be kind. follow board and have basis of @$6 in LNOP. the sequence of events over the past few months leads me to suspect that this offering provides MRVL an opportunity to acquire LNOP - in stages or one fell swoop. no way this many shares dribble out over many months in sporadic trading given who the sellers are and LNOP's fantastic future according to Charlie Burger. and if MRVL has thoughts re acquiring LNOP why would they let this many shares go elsewhere?
yes messageboarddik is an a-hole in general and full of sh!t:
"At least I am honest about my short term trading position, while sharing what new info I continue to find (bullish or bearish) with the readers of this board"- by messagedik
those EZ chip shareholders didn't convert to LNOP shares to sell them for nothing, In my opinion they waited to convert until the performance of the company was more certain, so I don't see a huge drop in price coming
Don't worry bengh2000, it shouldn't fall too much further from here.
When I initially began my case for a correction, we were at the highs.
My prediction was that we trade into the 11 area, but I think we'll see the 10's one more time (maybe even the single digits briefly if the Qtrly report disappoints).
We've made it to 12.50 so far, which is more than 1/2 way.
Just be prepared to take action at each meaningful price point for you.
If we DID fall to 11, or 10, or single digits, what would you do?
Have a plan ahead of time so you can act fast when others stare in disbelief.
Good luck to you. :-)
Congratulations MBM on finding the filing, it would have been some time before I would have stumbled on it on my own.
I have seen very little discussion on why "Stock Registeration" is necessary. Of course it (the stock)is virtually worthless to the holder until it is registered and it is an exercise in sematics that it is registered for sale. One of your posts related to this. Moxy hit on this also.
"The filings let us know the exchange happened, but more importantly frees them up to be sold on the open market according to the terms (1/3rds between now and June20th)."
The "terms" are always included in the agreement as some protection to the one issuing the stock... It does not mean the new holders plan to sell but history has told me that some on them do sometime.
One point that was of interest to me in the basic filing was all the the restrictions on LNOP as to moving, disposal, or transfer of technology. (Due to their having received government grant money during their developement)Seems to me that they have one of the strongest "poison pills on the planet.
Excellent point on the "posion pill" John.
I wonder if that would be a good or bad thing for the stock price in the long term.
It may make a buyout less likely, which may keep the price from rising FASTER....
BUT.... on the other hand....
it may keep the price rising LONGER, reaching the company's maximum potential value independently.
Interesting to ponder.
This is the on-going effort to exchange oringinal EZchip shares to LNOP shares so the company can own 100% of EZchip. This is NOT dumping of the LNOP shares as the poster would like you to belive...this is an exchange of shares to acquire a full stake in EZchip by Lanoptics.....There seems to be a motivation here to distort the truth for personal reasons...The truth is EZchip/LNOP will be a whole company ready to capitalize on it's technological success.
LNOP is issuing shares to the holders of EZ-Chip in exchange for equity in EZ-Chip? Well duh.
What do the EZ-Chip holders get to do? Register and sell (if they want) their now very liquid LNOP shares.
Whether they do or not remains to be seen. But your post is very foolish in attempting to deny that there is a potentially huge overhang on the stock.
While I understand your desire to see only what you want to see, you are blatantly missing the point of the SEC filings.
The filings are to announce the private secondary offering of LNOP shares (in exchange for EZchip shares), and to register those new LNOP shares for sale by the new owners in the open market according to the time windows specified.
Those shares (3.878 million) were exchanged for 18% of EZchip, which leaves LNOP with 22% of EZchip shares still to be exchanged for even more LNOP shares.
If the exchange rate of the final shares is to be the same, then LNOP will have to issue another 4.74 million shares.
We should see a similar filing for that amount (or close to it) pretty soon, as LNOP announced their desire to complete all exchanges by year end 2006. (surprise, they are late there too)
LNOP will then be 100% owner of EZchip with almost 20 million shares outstanding.
The filings let us know the exchange happened, but more importantly frees them up to be sold on the open market according to the terms (1/3rds between now and June20th).
I hope this all helps you and other longs better understand where the selling volume is and will be coming from.
Good luck to you.
Wrong. This filling means that the shares that were used to increase LNOP's ownership of EZ from 60% to 78% (not 100%)can now hit the market as per schedule. Although the holders do not have to sell, they can and those 3.5M+ shares are a large overhang.
The EXCHANGE is already done and was just administrative.
The filing's language shows a REGISTRATION TO SELL those exchanged shares in lots of 1/3rd, within those three specified time windows between now, March 22nd and June 20th.
Their filing allows the exchanging shareholders to sell their shares in the open market, with none of the proceeds to go to LNOP or EZchip in any way whatsoever.
VW - Did you even bother to READ the actual document? Especially page 20 that I pointed out?
If I'm wrong, please be detailed in your explaination and point out exactly which page of the filings prove your case.
If you can't provide detail, you are likely just one of the MM's using this board to dump your shares onto.
All IMHO. Good luck to all longs.