Relax their bud...I'm saying I agree with you, they knew what they were going to do when they granted themselves the options.
To be correct, they granted themselves these massive amount of options on February 4, 2013...Merger was announced April 24, 2013. I'm no Warren Buffet, but I've done some M&A and in most cases, you have at least a couple of weeks of back and forth before you agree on a deal. Apparently stockholders approved this amendment to the 2007 Equity Incentive Plan in this week's vote. I know I clearly voted against it.
The fish smell keeps getting stronger and stronger...
One of the very few biotech stocks that announce they have begun their Phase III and the stock price drops. Management sure knows how to build stockholder value.
That is what would happen under a "normal" buyout with people who don't have conflict of interest. In this lovely case (note my sarcasm) the only thing that is fixed is the exchange ratio, at 0.995. Therefore, if the price of OPK comes down so does the buyout price, if it goes up (doubt it) so will the buyout price.
I'm no expert but he didn't buy OPK for two weeks (4/10 - 4/24) prior to announcing the merger with PBTH. He began to buy PBTH in the open market on 4/30 and has pretty much bought every day except 5/1 and last Friday. We'll see if he resumed his purchases yesterday or if he stopped for some reason.
Since the merger was announced Frost has been buying both PBTH and OPK in the open market. If he stops buying PBTH it may be a sign that he is restricted (since he is an insider) because of a competing bid for PBTH...
Time will tell...
$12.5mm of the increase in revenue was from a deal with RXi, so in reality, revenue only slightly increased.
Definitely not in the best interest of shareholders. They should have negotiated a collar. Although you know management will say "well, we saw so much upside in OPK that we believed on closing date the OPK stock price may be higher than $7 and therefore got more money for PBTH..."
The Merger Agreement contains certain termination rights for both OPKO and PROLOR. If the Merger Agreement is terminated under certain circumstances specified in the Merger Agreement, OPKO or PROLOR, as the case may be will be required to pay the other a termination fee of $9,600,000 and in certain circumstances PROLOR will be required to pay OPKO a termination fee of $14,400,000. The Merger Agreement also contains a “go shop” provision pursuant to which PROLOR has the right to solicit and engage in discussions and negotiations with respect to competing proposals through June 2, 2013. After that date, PROLOR may continue discussions until June 22, 2013 with any party that has submitted a competing proposal that the Board of Directors and Strategic Alternatives Committee of PROLOR determines in good faith would reasonably be expected to result in a superior proposal as defined in the Merger Agreement.
makes me sick to my stomach, what a conflict of interest and potential manipulation of events (i.e. delay in start of Phase III, no update on child hGH Phase II, delay in getting Factors to Phase II from 2013 to now 2014, etc...)