FEYE would seem to be in a lucrative business of cybersecurity, but looking at the income statement for the last 3 quarters, I've noticed that even with significant revenue increases, S,G&A expenses have increased even more substantially. Trading now at close to 52-week lows, may be a good time to enter.
The question still remains if Otsuka and Bigarade were prohibited from purchasing shares these last two weeks, who purchased and sold these shares? If there were a concentration of purchases I guess we'll know early next week when the 13-whatever schedule would be filed.
It's my understanding that Otsuka cannot acquire shares until the tender offering period begins, which would be December 15 or December 16.
Somewhere in the neighborhood of 144 million shares have been traded since the acquisition announcement. If Otsuka and Bigarade are prohibited from acquiring shares in Avanir until the tender offering period commences, then who has been buying these shares? Also, who has been selling all of these shares?
That's $1.30 a share in cash (albeit some cash burn in October and November) using 208 million shares. Add in the cash equivalent value of the NOL's and the $17 a share acquisition just became $15 a share.
I do believe that you are correct in that Otsuka (or Bigarade) from the date of the acquisition announcement, cannot acquire shares before the tender offering period commences. It's a valid question to ask then who has acquired this huge number of shares traded since December 2. Obviously there has been short covering, but that cannot account for the majority of trades.