SYNTA PHARMACEUTICALS CORP: 4, Sub-Doc 1
FORM 4 UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
OMB Number: 3235-0287
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Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
1. Name and Address of Reporting Person*
(Last) (First) (Middle)
C/O SYNTA PHARMACEUTICALS CORP., 45 HARTWELL AVENUE
LEXINGTON MA 02421
(City) (State) (Zip)
2. Issuer Name and Ticker or Trading Symbol
SYNTA PHARMACEUTICALS CORP [SNTA] 5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
Director 10% Owner
X Officer (give title below) Other (specify below)
SVP, Chief Medical Officer
3. Date of Earliest Transaction (Month/Day/Year)
4. If Amendment, Date of Original Filed (Month/Day/Year)
6. Individual or Joint/Group Filing (Check Applicable Line)
X Form filed by One Reporting Person
Form filed by More than One Reporting Person
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3) 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code
(Instr. 8) 4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4) 7. Nature of Indirect Beneficial Ownership
Code V Amount (A) or (D) Price
Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3) 2.
With over 61 million share traded today, who do you think sold? And who do you think absorbed it all? This was amplified today due to algorithmic trading that continued to pound this lower and thus adding fuel to the fire. This was more than a melt down. So, my suspicion is that buy and hold from here until a definitive cause is identified seems to be a good risk/reward proposition.
The reaction rates were similar but were mild in the phase III studies. The post marketing was done on drug in multi-dose vial. Also, 30 minutes after treatment...sounds very much like Anaphylatoid reaction, which for all intensive purpose appears clinically like an Anaphylactic reaction. You still give Epi when you are not sure...thus in a frail population (dialysis dependent patient), this could result in the heart attack or death. However, the difference is IgE (anaphylaxis) verus non-IgE mediated (anaphylactoid).
CEO and Medical Officer didn't seem to be panicking. I think they are fairly confident that the reaction will likely be attributed to the preservative in the multi-dose vial. They will likely consider going back to the single vial formulation from their phase III trial. They will do another post marketing with this formulation and those who bought as the herd jumped off the cliff will be sitting pretty.
The multidose vials typically use some sort of preservative.
My guess is that management saw an early fix for this and rather than being shut down by the FDA, voluntarily recalled all the vials and will suggest a compromise with the FDA.
Today is a buying opportunity but MM's will likely push this down further unless another Institutional Buyer moves in.
The algorithmic trading brought waves upon waves of selling pressure. We should bounce within the week.
If I were Amgen, I'd buy out this product right away knowing that a quick fix is very likely!
Similar to the flu vaccine going from multi-vial to single vial. We see it also in the Lidocaine for anesthetics.
Look. The post marketing data was troubling. But, in perspective, there are several explanations as to why such events took place.
The interaction between the diluent and the dialysate may have resulted in the untoward event.
Diluent change may be sufficient to reduce the events.
Pretreatment may show reduction of what was likely "anaphylactoid event'.
0.05% adverse event in this population is nothing to scream about.
If management even suggests a hint that they may have a plausible explanation, 300-500% upside exists.
All of the larger institutional share holders dumped. Hedge funds got slaughtered without any chance of avoiding disaster. Their positions likely got closed without much of a notice.
Institutional investors desparately want to get their money back. They will let things settle, asking their MM to collect as many shares as possible. The MM's are in the driver seat. They may take this down further, but it all depends on how greedy they are.
Either way, AFFY has a good chance to recover from here. 85% drop on a "voluntary recall" is a slight overreaction don't you think. Thank the big boys for dumping and look for an entry point. It's coming soon.
Dialysis patients are not exactly the "healthiest group" of patients. They
The message is clear. SYNC hasn't lived up to expectation and their rollout has been less than robust. Can this company survive the recent trashing? Of course it can. The cash on hand will cushion further downside risk. Heck, MSFT should just swallow them up; but the management isn't about to let this happen.
At sub $3, you can bash this all you want. Whatever reason one cites, it's more than baked into this price. The management can and will prove capable from here on out. Target price $5 by end of 2013. I'll take a 100% return per year anyday. By the way, what idiot rates a stock a "Sell" and places a target price 100% above current levels? That analyst needs to get back to his spot on the soup kitchen line. That's like slapping a Sell rating on Apple and saying you believe the stock is headed to $1000.
Wow, did these "headwinds" just appear overnight? When they ride this up from here, I suppose at some point around $6, they'll note improved "visibility" and revenue stream?
Following their upgrades and downgrades are utterly useless.