Almost forget...
On 12/31/2013 Keryx O/S at 83M.
On 12/31/2016 Keryx O/S at 106M.
On 12/31/2017 Keryx O/S at 119M.
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So, at year-end 2013, Keryx O/S at 83M. Baupost comes in early Jan. 2014. At year-end 2016, Keryx O/S at 106M.
The difference between O/S 83M (2013) and O/S 106M (2016) is 23M shares. At year-end 2016, Baupost shows holdings of 25.8M. So, it appears every single newly issued share during 2014, 2015, and 2016, was placed with Baupost. Also tells you, seemingly/potentially, if above is true, that other TOP institutional owners’ holdings did not come from newly issued shares during 2014, 2015, and 2016, but rather from general selling into mm’s inventory and then “placed” (which is potentially what has been going on for past nearly 6 MONTHS at sub-$5).
Then of course you have Baupost conv. notes agreement announced on Oct. 15, 2015 which equates to 33.4M shares fully converted. Now, you might be wondering where the 33.4M shares from conv. notes
will come from..
On May 27, 2016, Keryx announced at Annual Meeting held on May 25, 2016, that stockholders approved amendment to Keryx’s Certificate of Incorporation to increase authorized shares by 50M shares of Common Stock. So Keryx increased authorized share capital by 50M shares to make good 33.4M shares. (Remaining 16.6M shares.)
As per Keryx’s 2017 Annual 10K filing on 2/21/2018, during 2017 Keryx sold 11.9M shares for net proceeds of $75.7M, which included initial $75M supplement and part of addtl. supplement, with $72.4M remaining from addtl. supplement - both supplements part of $250M self from Nov. 2016, with $100M shelf remaining.
So, year-end 2016 O/S of 106M plus 11.9M shares issued during 2017, equates to 117.9M which represents year-end 2017 O/S of 119M, with an addtl. 1.1M shares accounted for somewhere along the line.
So, the question remains, who was beneficiary of those 11.9M shares on 2017? Not Baupost, since Nasdaq’s Institutional Ownership report of 12/31/2017 published on Feb. 15th showed Baupost at same 25.8M shares.
Finally, keep in mind that as of 12/31/2017, $72.4M remains from addtl. supplement and $100M remains from $250M shelf.
ALL above, in my opinion, as always.
AI
