waiting for the other foot to fall
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is 360.9 fully diluted or do we need to add the warrants?
he should have put out a PR with the reason for the S1 before hand and rolled the S1's but I doubt there were shots because I saw very few upticks . Just a panic seller or sellers in the thin after hours trading session.
because the S1 issued 0 new shares that were not already issued in IPO or underlying the warrants. It just registered shares to lift restrictions.
7th, but now there is no longer fear that you cannot and 25% of the time is passed with the stock not imploding (the real fear to the warrants is liquidity during a selloff)
30...
perhaps part of the drag on warrants was that there were no tradeable shares to convert them into and perhaps people worried they'd convert to restricted shares. Before today there was a 4:1 rate of change difference but since noon the shares are up $6 and the warrants $4 just eyeballing the chart.
Also as we get closer to July 7th the prices will converge to the $11.51 difference (plus a small differential due to stock volatility).
also filed, 3 13D's totaling 48.1% of the float.
watch the warrants sligshot... if I'd read the filing faster I would have caught the dip and the spike :(
https://sec.report/Document/0001047469-20-003604/#ec70501_selling_securityholders
This is just registering the locked up pre-IPO shares and the shares for the warrants. Sell off because people that panic on headlines instead of reading filings should not trade their own stocks.
supposedly it still says license of rights for equity. My trading will assume the offering was completely executed.
If it matters to your decisions, call IR about Cellularity or wait for an 8K and call transfer agent about current OS.
that is also an option, but there is no way they did not take advantage of the high prices and volumes to sell shares for financing. In fact, they would have been stupid not to with a filed offering. I am not saying that as a bad thing, just a reality to gauge trading price-volume actions against.
No, paid off debt with proceeds from equity offering. How else could they possibly pay off loans?
good that they paid off the debt, but people are insistent that they did not sell shares in the offering yet and that is clearly untrue.
Lest there be any doubd that they just sold $250M in shares..
Sorrento Announces Full Repayment of Outstanding Term Loans
SAN DIEGO , June 12, 2020 (GLOBE NEWSWIRE) -- Sorrento Therapeutics, Inc. (Nasdaq: SRNE, "Sorrento") today announced that it prepaid in full its outstanding term loans on June 12, 2020 .
The prepaid debt, comprised of an initial $100 million term loan and an additional $20 million term loan from certain funds affiliated with Oaktree Capital Management, L.P. , was obtained pursuant to a Term Loan Agreement entered into in November 2018 .
About Sorrento Therapeutics, Inc.
or just very overbought and not enough new buyers for people to take profits... will test 61 and 57 and if 57 breaks, it could go all the way back before bouncing...
$40 is likely if/when $60 breaks. Not saying it is worth that but the warrants and pure curb appeal both do.
chart support is $60 because it was resistance Monday and support Tuesday open. If that holds a couple more days then the warrants will drift towards $50, which is my bet.
It’s in the top 5 all-time investments at this stage in the game
Right now it's running on hype and not logic.
They also had cashless conversion as I recall where the $11.50 could be paid using some of the conversion shares.
in a past life (20 years ago) I held a penny stock through 5x to avoid paying taxes that year and ended up with 10 cents on the dollar the next month...
I held several things past my price targets March 10 that I sorely wish I had sold and bought back early April :) All better now though.
implied stock price this AM at 30 days out is $40 based on warrant price. Implied warrant price if they were free to trade is $60 based on stock price...
I never like these 'popularity' companies, but I am down for a few hundred warrants. I figure the value near term is $40-50 for the warrants and the stock sustaining $50-60
shortly after I comment it may well prove me wrong, but even with Cramer it seems unable to stay over $5. Longterm aside, lets fill that gap from the bottom...
never feel dumb for taking a profit. Never.
I just relearned that lesson last night when I raised my expectations on a pharma and at close last night they announces mixed results on phase III trial... could have sold at 30% profit or more several times, but was expecting a double. Went from 3.23 before halt at the bell to reopen after hours at 0.09. Recovered to 1.74 overnight and hoping the good part of the mixed news gets me close enough to good...
... always go with your instinct when it's time to sell. You always miss the money you lost more than you miss the profit you might have had.
you told him something could not be done based on a literal interpretation of the question, which is true. I suggested a way to accomplish what was asked.
The shares may be overvalued but the warrants are still undervalued by the pre-run price. The only reason not to do it - assuming you could not afford to hold both - is if you believed the IPO would crash and burn within the 30 day restriction. At that point I'd have to ask why hold the stock?
no, but you can sell shares and buy warrants.
if you believe the stock will hold $81.57+ for 30+ days then the warrants are 'worth' $70. If you fear the stock will fall back to $41.57, the warrants are 'worth' $30.
I found this stock almost at close yesterday and i never buy that deep into a run, but I bought some warrants on spec that the arbitrage works. If they stay undervalued for a while I might add as they get closer to eligibility for conversion.
they trade until either they are all converted or they expire. They fluctuate with supply and demand.
you mean sell the shares and buy warrants for better leverage?
It should be $11.50 less than the stock if they could immediately be converted. Because there is a time to convert, they are still cheaper in case the stock falls before you could convert them.
either it means the stock is expected to fall to $35 faster than you could exercise and sell or people just do not get warrants. It must be the former because there is no way a hedge fund has not seen those $50 bills laying on the floor.
Stock at $66 and the highest options strike is $55. $55 puts should be almost free... Aug, Sep, and Oct $55s are $26~$29??
Even June 19th $55's are $10+
If they are, it would only be to take the profit and reshort the next top. But what do I know, I am not short the stock.
when I said it, there was neither support nor resistance on level 2. Being mentioned on CNBC changed that, for now. That does not change the validity of the observation.
just people that missed the news during trading Friday retesting the same high. No real support or resistance here though.
been waiting since last fall for this.
it could be, but they just got that process recently based on yesterday's news. Believing it is already done is unrealistic.
the in vitro did not need guidance. The animal tests may or may not be needed and may or may not need go ahead.
They said in various news and interviews that they were seeking guidance and that they were planning animal tests. My assumption is that they were seeking guidance for the whole deal.
That said, I have bet and I assert that if they had done animal tests already it would be announced.
they were filed in April and were likely sold in the promotion. You would have to call the transfer agent to get current outstanding shares. Filings and web sites would be as of the last quarter reported.
https://www.nasdaq.com/market-activity/stocks/srne/sec-filings
4/27 - offering of shares
5/11 - 10Q with OS as of 3/31
5/14 - Fox News induced run
... you do the math.
Yes I am playing $5 puts because, yes, I believe the price will hit the low 3's soon. I expected it sooner. It fit a classic condition where puts make money.
That said, I might go long in the low 3's. Don't confuse me with those calling it a fraud. I am saying the share price and the hype are way ahead of itself. It will never be 20% of my portfolio like Skyworks or Semi-LEDS are though... just a small spec lpay up and down as needs be.
but we do know. Animal in vivo trials are clinical trials and required the guidance they just received.