Price range at which Destrier Capital bought - time to cover?
They did not have any stock as of Dec 31st 2013. They had to disclose, as reached the 5% threshold, on Jan 8th 2014. They have bought 743K at an avg price which must not be far from $9 (anywhere between $8.36 and $10.2, lowest and highest price respectively between Jan 2nd and Jan 8th).
It must be the top institutional holder now, surely they must have done an extensive due diligence before investing $7M. So how many of the 5.7M shares short will be covered in the next few days?
The short interest was still extremely high when institutional ownership was a lot higher than it is today. Means nothing imo. The shorts don't scare easy and usually stick with their convictions until they see the fundamentals change. None of the fundamentals have changed yet.
"So how many of the 5.7M shares short will be covered in the next few days?"
Shock, that would be a very irrational behaviour. Whoever is so reckless to short this stock (and I sicerely hope you are not one of those people shorting UNXL at these levels), considering that UNXL has almost $50M in cash and no debt, and that even in the worst case scenario UNXL market cap will not go below cash on hand, and considering that these shorts can earn max $5-$6 a share and their risk of loss is unlimited, they probably deserve to cover only when UNXL is producing and selling millions of sq feet per month (the fundamental change you mention) and learn the lesson the hard way. I think irrationality has no limits and we have seen many examples in the stock market in the past. IMO UNXL short interest is a very good example of markets irrationality. Rational investors take advantage of it and make money.