I was hoping this would not happen but OPTR announced that they were going to sell more shares subject to market condition's. Lets hope this does not hammer the stock but I don't think it will be pretty in the short term.
Stock down a little over 10%,-- dilution 6 million shares added to a float of 39 million = -15%
we're ahead of the game! Sure don't feel that way.
Bought more, this news should put a floor at $11.25, if it has a significant drop below that for any
duration it's all yours to ponder.
Since this is a Secondary offering and not a new IPO the rules may vary but I would assume that if the offering is oversubscribed by a large enough amount, the Underwriter and Optimer could raise the offering price. They have targeted 6,000,000 shares at $11.25 each which gives them the $67 million they want from the sale. If they can still get that amount, and the rules allow it, raising the offering price makes sense. This all will be decided by Feb. 16th so we don't have long to wait.
actually, just got in on secondary offering opportunity; believe this will rebound handily once recalcs are done with dilution - i.e., believe oversold on news. recurrence of c-diff a major problem for patients AND hospitals, and physicians/hospitals, imo, will prescribe over vanco & flagyl to reduce chance of recurrence. hospitals are increasingly concerned over readmission rates, and this antibiotic, imo, will help control readmissions for primarily seniors being cared for at home or in facilities by reducing chance of recurrence. will be long for a long time...good luck, and do your own dd.
Well now the price is out. You think someone knew? What a scam!!
Why would you price your offering at $11.25 when the stock closed a $12.57?
I guess the underwriters were not making enough money.
Time to sell what you have and go short.
This company clearly doesnt give a rats u know what about its shareholders.
I think if you read between the lines you will see that management expects to get the FDA approval, and seeing how that will rocket the stock price, they wanted to get this filing out of the way.
Well, this is not such a good thing for shareholders (like me) at first glance.
On the conference call they made no promises but I understood them to say they might have enough money with the new funds coming in from Acellas to not need further funds...which I took to mean either borrowed or additional equity. So that didn't take long for that understanding to become inoperative (to put it nicely).
Having said this, they certainly are taking advantage of the good news and I suppose if I were running the company now is the time I would be offering new shares as well.
Interesting they say nothing about date, size, or pricing of the new offering. I guess we just have to wait and see.
Good luck to us all....
This is an interesting development and totally unexpected on my part.
SAN DIEGO, Feb. 10, 2011 /PRNewswire/ -- Optimer Pharmaceuticals, Inc. (Nasdaq:OPTR - News) today announced that it intends to offer and sell shares of its common stock in an underwritten public offering. All of the shares in the offering are to be sold by Optimer. The offering is subject to market conditions, and there can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering.
Note that they don't even guarunty the offering will actually be completed. That's certainly open-ended. Obviously, if they do go forward with this offering the dilution will effect the stock price but until they determine the number of shares in the offering, no one can price in the dilution. However it looks as though someone is pricing dilution in in the afterhours market because the stock is down to 11.73 per share.
For my part, I take this as a buying opportunity and will be possibly purchasing more shares in the morning once I see which way the pricing heads.
my instincts tell me stay put but we will see Friday on how the institutional money reacts.I sure hope that this stock goes up but they lowered the asking price AH although there has not been too much activity in AH...Dang