There were only like 24K short as of last check. I just don't think the guys who short would waste there time here. Not enough shares and too illiquid. I have seen this happen many times in other stocks I have owned over the years and even here for that matter. It has always been someone unloading a position - especially this time of year. This had the same feel as the others I have seen. If the short interest shoots up next read you may have a point but that would surprise me.
You're coming off a decent sized selling fit. Once it settles I would be surprised if we did not slowly claw our way back to around $5.00. With respect to "many" interested parties. I will hold judgement/accolades until we have a confirmed buyer. There have been too many "interested parties" in everything associated with this company for years but none have materialized as suitors to date.
If you are referring to me, I highly doubt any decisions are made at Lpath because of me. More like in spite of me. That being said the price increased after the announcement and there appear to be others here who share my sentiment so it would seem not only am I not alone, I am in good company.
That aside, I would guess that because they announced that they bid on the option in the first place, they would be obligated to announce the outcome of that effort once known.
There are 5K shares sitting on the bid on level II @ $4.10 not trading and another 5,700 at $4.00. Not huge depth but appears to be some support.
I also doubt Pfizer would disclose the amount. They have no reason to - not even to LPTN. If anything, once the deal is announced, any "arrangements" between the buyer and LPTN and maybe transitional issues would be announced but probably not the purchase price to Pfizer.
Interesting wording on the announcement. My take would be either they (Pfizer) have started negotiations with someone or that no offer was accepted. I can't imagine they would only tell LPTN this if there were multiple bidders.
Cautiously hoping for something positive out of this news. I am happy I was wrong on LPath picking up that option. I think that would have just created more questions. It isn't over until its over but this (for me anyway) is not a bad turn of events.
While it isn't a great investment decision making tool, fingers crossed...
I can't imagine anything like competitive bidding. More likely they get offers (if any), they pick one and accept or counter it and do a deal if everyone agrees. Or they don't get any serious offers and keep the doors open but hold their option which is my bet on what is happening here. I think we can assume they did not like LPTN's offer at this juncture anyway.
Obviously I hope they do get an acceptable bid but I would not be betting on it at this juncture and every day that goes by makes it less likely. The option is pretty straight forward from a valuation perspective once you have a CA signed.
If there were anyone interested they would already have had a number in mind and would have made an offer by now - just like LPTN did. Pfizer's speed is a separate issue but if they had a good bid and they are looking to sell as we understand from LPTN, I can't imagine why they would stall in accepting it which would make it immediately reportable by both LPTN and the purchasing entity. No one delays or stalls because it sets them up for FD violations if it leaks.
Looks like a big push on the sell today. Hopefully that means whoever was selling is done. That is how it has been in the past anyway.
It is an illiquid stock. This is what happens when someone exits a decent size position. Hopefully the pressure is off. We'll see tomorrow.
Yes but my understanding is you really can't do that with the ATM part. That is what the other $20MM is for. I guess we'll see soon enough.
I was curious what the reporting requirements were for this:
Upon execution of the equity distribution agreement, the issuer will file the prospectus supplement setting
forth the terms of the offering and will file the agreement and any press release announcing the at the
market offering on Form 8K. In addition, the issuer must report quarterly on the number of shares that have
been sold under the equity distribution program and related information, including the commissions paid
and net proceeds to the issuer, either by means of a prospectus supplement or in its periodic filings under
Forms 10K or 10Q.
If I read this correctly, they could have been / could be issuing shares and we won't know until the Ks & Qs are released. There is some discussion about large / material trades that may require interim disclosure but as I read this, they can dump shares into the market as they wish under the ATM and we won't know until reporting time.
Anyone else have any more detail on this? Hope we don't get a 10K with yet another surprise in it...
Just to be clear I am still holding shares - Just a reduced position and I intend to buy more at a lower price when and if we get a capital raise announcement. After the last three years I wouldn't/won't bet the farm here regardless though. Poor decision making can derail even the most promising opportunity and given that we have been taking two steps back for every step forward for some time here now, I think caution is warranted. Not to mention the fact that every single indicator points to the likelihood of dilution.
In the end, my hope is for at lease subdued positive phase II results and either a decent pop in the price or a takeout announcement shortly reasonably north of my average. I personally will not hang around for act II of the last three years. Good or bad my time here ends after Phase II for iSONEP.
October 8, 2013: "Lpath, Inc. (“Lpath” or the “Company”) issued a press release announcing that Pfizer Inc. (“Pfizer”) is currently seeking to divest CERTAIN OPHTHALMOLOGY R&D ASSETS, including Pfizer’s exclusive option for a worldwide license to develop and commercialize Lpath’s drug candidate, iSONEP."
"As of December 31, 2012, Pfizer had paid the Company $20.0 million pursuant to the terms of the Pfizer Agreement, including the $14 million upfront payment. The amendment to the Pfizer Agreement DOES NOT modify the Company’s OBLIGATION to fund the next $6.0 million of Nexus trial costs."
"Following completion of the Nexus study, Pfizer has the right to exercise its option for worldwide rights to iSONEP for an UNDISCLOSED option fee and, if Pfizer exercises its option, the Company will be eligible to receive development, regulatory and commercial milestone payments that COULD total UP TO $497.5 million. In addition, the Company will be entitled to receive TIERED double-digit royalties based on sales of iSONEP."
Pfizer shall be responsible for the *** of Shared Costs, and Lpath shall be responsible for the *** of
Shared Costs. *** shall be responsible for any Shared Costs in excess of *** (such excess amount, the “Overage”), subject to ***.
The following new Sections 1.76 and 1.77 are hereby added to the Agreement:
1.77 “Restart Costs”***.
*** Certain confidential portions of this Exhibit were OMITTED by means of blackout of the text (the “Mark”). This Exhibit has been filed separately with the Secretary of the Commission without the Mark pursuant to the Company’s Application Requesting Confidential Treatment under Rule 24b-2 under the 1934 Act.
Everything with respect to costs is filed under a CT order. No one knows ANY percentages except Lpath, Pfizer and the Secretary of the Commission.
They are saying that someone with inside information is front running a capital raise announcement. If you look at the last two announcements in 2012 however, that didn't really happen. It was the day of the announcement that the price dropped to basically the offer price. Intraday there might have been something going on but not days prior. It seems like I do remember the price moving prior to the midday announcement. My guess is this is just tax selling like I said before. If you look back at the last three years, there is always some pressure on the price and a few days with extra volume around this time of year and Wednesday is consistent with that.
No one of consequence is making investment decisions on any of this stuff. You have a couple of things going on right now - End of the year tax clearance and portfolio restructuring for the new year. But in reality with LPTN there are simply no buyers or sellers, the stock is illiquid and it doesn't take much to move the price around. Today's change is on 6,000 shares. Meaningless. Almost everyone here is in a hold pattern and it will be that way until we get news.
Stock options 363,269
Restricted stock units 712,038
All of these become dilutive as the stock price increases and in a buyout, they will all count full assuming someone pays more than where we are today and they do it before expiration which I think we all can agree is past the point where we will have confirmation on isonep. The point is it is a mistake to disregard these shares because in any of the positive scenarios you guys are discussing, they will be a factor. Companies don't pay a per share price for a company. They make an offer and back into a per share equivalent.
So to answer you directly, there always were 15MM shares. It just happens that 2MM of them are currently anit-dilutive (under water).
The only argument anyone could make for less in a positive scenario is if the holders took cash instead of paying in for the shares but that is unlikely given the purpose of those warrants and the history of how they are typically handled. I call this Left-e's folly.
I leave you with a excerpt from a recent analyst report: "Lpath currently has ~13M shares outstanding, and would likely undergo dilution due to warrant redemption should the stock price move significantly above $8."
You sidestep stuff all the time when it isn't convenient for you. Why should I be any different? And while I've said enough on such trivial matters (you like that?) - The warrants we discussed were exchanged for cash on a net basis and there was zero capital contributed to the company for their surrender. You were wrong.
You can type the word "libelous" all you want but if you are going to accuse me of it, please reference the posts with the "libelous" content. And don't paraphrase. Verbatim and in context. And after the completion of this inquisition, I will be ending all communication with you on this board. Clearly you prefer to hear yourself talk and are not interested in constructive debate. I just didn't want you to be surprised when I abruptly stop responding to your egocentric babble.
I find it very interesting that I have struck the nerve I have with you. You continuously try to belittle my contribution here yet you do little to refute it as you do with everyone else who takes a counter position on the indications. Why is that? Rhetorical...