MannKind Corp. (MNKD)

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MannKind Sees More Insider Selling
By Jon C. Ogg December 4, 2014 12:10 pm EST

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MannKind Corp. (NASDAQ: MNKD) saw its shares trading lower on Thursday, on what was a day with little or no real news from the company. The culprit may simply be insiders selling more shares. One thing that should be pointed out first and foremost is that these shares sold were part of a scheduled insider share sale under the formal Rule 10B5-1 Plan.


The total proceeds between these two insider sales came to more than $1.4 million — versus a market cap of about $2.3 billion. A second issue to consider is that other insiders also sold over 250,000 shares later in November as well.

Diane Palumbo, Vice President of Human Resources, sold some 183,522 shares on December 1 at a volume weight average price (VWAP) of $5.8943, for just over $1 million in total proceeds. She still has 29,105 shares.

Hakam Edstrom, president, sold some 74,668 shares on December 1 at a VWAP of $5.8937 per share, for a total of about $440,000. Edstrom is shown to have 1.047 million shares remaining.

The logic over insider selling is far more complicated than open market share purchases by corporate insiders. The insiders may be doing estate planning, they may be buying a house or there may be myriad other reasons. Again, these two insider sales were under a Rule 10B5-1 Plan, so they are likely less than ominous on the surface. Still, with MannKind shares having been cut in half, and with so many skeptics fighting optimists here, it is easier to see why some investors might wonder about large blocks of stock being sold.



Read more: MannKind Sees More Insider Selling (NASDAQ: MNKD) - 24/7 Wall St. http://247wallst.com/healthcare-business/2014/12/04/mannkind-sees-more-insider-selling/#ixzz3KxFJBtOG
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