offer a valid and consistent explanation for the BOTA sell down by HH.
They have had a clear change in guidelines and direction, from major (often controlling) holders with occasionally activist involvement to passive holders with a maximum limit of 3% holding of any company's stock.
They have sold down to that level in BOTA.
They have even sold down stellar performers like Sirtex, although they are making an exception to the 3% limit for them.
As I said, if it has helped the liquidity and hasn't hurt the share price, then fine. Just seems weird strategy.
Thursday, 12 December 2013
Saturday, 7 December 2013
Well, that was easy
Hunter Hall sells down to 1 million shares.
Why would they sell out, having offered critical support for the company's move to Nasdaq through all it's disastrous stages for presumably the rich benefits to follow? Instead they sell at the lowest price in years.
And especially if, having a seat on the Board, they know what the next 12 months has to offer.
Mr Hill will soon vacate the Board, I suppose.
Words fail me. I guess it's all to benefit the Hunter Hall shareholder or unit holder. Somehow.
We'll discover the buyers eventually.
Why would they sell out, having offered critical support for the company's move to Nasdaq through all it's disastrous stages for presumably the rich benefits to follow? Instead they sell at the lowest price in years.
And especially if, having a seat on the Board, they know what the next 12 months has to offer.
Mr Hill will soon vacate the Board, I suppose.
Words fail me. I guess it's all to benefit the Hunter Hall shareholder or unit holder. Somehow.
We'll discover the buyers eventually.
Thursday, 5 December 2013
Some increased institutional buying reported at
http://whalewisdom.com/stock/bota
- it's a good site for tracking institutional activity in BOTA, and as you can see there has been a significant increase in institutional buying. However, it could be just the placement of the 1 million shares last quarter. It will be interesting to eventually discover where the last 2 million went.
Blackrock have bought into BOTA.
Doesn't recognise East Hill or Hunter Hall, though.
I wish these 13F filings were easier to find and more timely - need to find a better source.
Not that the share price has reflected this: we're back to $4 after that brief uplift.
The company has announced dosing for the Northern hemisphere LANI trials. The influenza season here in Melbourne was very late: cases in late spring!
- it's a good site for tracking institutional activity in BOTA, and as you can see there has been a significant increase in institutional buying. However, it could be just the placement of the 1 million shares last quarter. It will be interesting to eventually discover where the last 2 million went.
Blackrock have bought into BOTA.
Doesn't recognise East Hill or Hunter Hall, though.
I wish these 13F filings were easier to find and more timely - need to find a better source.
Not that the share price has reflected this: we're back to $4 after that brief uplift.
The company has announced dosing for the Northern hemisphere LANI trials. The influenza season here in Melbourne was very late: cases in late spring!
Saturday, 30 November 2013
2 million shares - Thanksgiving?
Like the Pilgrims, Biota left a hostile land for the promise of the better life on distant shores. Like them, we've found hardship, and wonder if we did the right thing.
It's fair enough for hedgers to think that 2 million shares crossing in a company with only 28 million of them might mean something might happen. Like the first accumulation in a takeover bid. They have bid up the SP after the fact and we all get a little pleasant sunburst of optimism through the grey sky. Sigh.
Don't get me wrong - I have no inside knowledge. Maybe they do. But if past performance means anything, all that's happened is that we've seen Hunter Hall lighten their BOTA load again. Only they and East Hill have that kind of block to trade. And no-one ever knows what East Hill are thinking. East Hill paid way, way above these prices for their BOTA shares. Maybe they want to take Prolysis' gyrase back, and continue to play baby biotech among the spires of Oxford, and sold out of BOTA to fund it?
Nah, too Tom Clancy.
If shaking out the HH and East Hill stakes helps liquidity without dilution, I'm all for it.
Damian Lismore's year is up and he's moved onto Nexvet.
And if Hunter did sell those 2 million, I think last drinks might be called for Mr. Hill's time on the Board.
It's fair enough for hedgers to think that 2 million shares crossing in a company with only 28 million of them might mean something might happen. Like the first accumulation in a takeover bid. They have bid up the SP after the fact and we all get a little pleasant sunburst of optimism through the grey sky. Sigh.
Don't get me wrong - I have no inside knowledge. Maybe they do. But if past performance means anything, all that's happened is that we've seen Hunter Hall lighten their BOTA load again. Only they and East Hill have that kind of block to trade. And no-one ever knows what East Hill are thinking. East Hill paid way, way above these prices for their BOTA shares. Maybe they want to take Prolysis' gyrase back, and continue to play baby biotech among the spires of Oxford, and sold out of BOTA to fund it?
Nah, too Tom Clancy.
If shaking out the HH and East Hill stakes helps liquidity without dilution, I'm all for it.
Damian Lismore's year is up and he's moved onto Nexvet.
And if Hunter did sell those 2 million, I think last drinks might be called for Mr. Hill's time on the Board.
Monday, 25 November 2013
Oxford is a lovely place
but Biota won't have a presence there any more.
Prolysis's gyrase program was based in Oxford, and has continued there since Biota bought it in 2010.
But no more - the company has announced it will shut it down, and presumably the whole operation in Oxford goes. Prof Errington goes from the Board to potentially no longer being with the company at all.
I don't know whether that's a reflection of the competition in gyrase programs, or an assessment of their quality. It might have to do with the purchase of a new program. But, I have a feeling it has simply to do with reducing costs. Running two labs in two relatively expensive places, and neither leveraging each other.
The unwinding of Biota's last 4 years is nearly complete.
There are a lot of senior executives who oversaw and analysed the entry into those programs who are still with the company. Prolysis, Maxthera, rhinovirus: all cost the company probably in the order of 80 million between purchase and expenditure since then (although the first two were bought with hugely overvalued Biota shares).
Some Plumb and Patti type consultants would have been useful in 2010.
Anyway, here we are. The new question becomes whether the market will value the concentration in influenza and the step progress toward registration of LANI in the US. And what and how any new program will be purchased.
Prolysis's gyrase program was based in Oxford, and has continued there since Biota bought it in 2010.
But no more - the company has announced it will shut it down, and presumably the whole operation in Oxford goes. Prof Errington goes from the Board to potentially no longer being with the company at all.
I don't know whether that's a reflection of the competition in gyrase programs, or an assessment of their quality. It might have to do with the purchase of a new program. But, I have a feeling it has simply to do with reducing costs. Running two labs in two relatively expensive places, and neither leveraging each other.
The unwinding of Biota's last 4 years is nearly complete.
There are a lot of senior executives who oversaw and analysed the entry into those programs who are still with the company. Prolysis, Maxthera, rhinovirus: all cost the company probably in the order of 80 million between purchase and expenditure since then (although the first two were bought with hugely overvalued Biota shares).
Some Plumb and Patti type consultants would have been useful in 2010.
Anyway, here we are. The new question becomes whether the market will value the concentration in influenza and the step progress toward registration of LANI in the US. And what and how any new program will be purchased.
Saturday, 16 November 2013
Is this a crazy idea?
Before the crazy idea:
1. AGM outcome.
Probably the most sensible proposal didn't get up. Decreasing the shares on issue needed a majority of the shares issued to vote in favour (cos' it's a constitutional change).
Which got me thinking, why aren't all AGM proposals voted on that basis?
2. Swamp people
It was interesting to see Mangrove Partners poke an air breathing root into Biota.
As we all know, they led the proxy war against the hapless Biota to suck back more cash and improve the terms of the merger deal strongly back toward Nabi. They pitilessly gutted the deal. We were the first and second stupid little pigs and they were the wolf. They blew the house down.
Tried as I might, I couldn't find the previous status of their holding. So maybe that massive 167 shares are new.
If so, then maybe they see another undervalued cashbox.
3. Crazy Idea
Here's a crazy idea. What if Australian Biota shareholders established another company. Let's call it Ozbiota Pty Ltd (OZBI). It establishes a constitution designed primarily to increase shareholder value through representation.
Every share you hold in Biota entitles you to a share in OZBI. You sign over voting proxies over those shares to the new entity.
It elects a board.
The company raises enough capital to run. Might cost 10 cents per share to play.
It then becomes a significant holder in Biota Pharmaceuticals.
As a service to shareholders, it could co-ordinate and facilitate trading on Nasdaq on behalf of all Australian holders. Yes, sellers as well as buyers. It could assist in voting at future AGMs.
Would it work?
Crazy, huh?
1. AGM outcome.
Probably the most sensible proposal didn't get up. Decreasing the shares on issue needed a majority of the shares issued to vote in favour (cos' it's a constitutional change).
Which got me thinking, why aren't all AGM proposals voted on that basis?
2. Swamp people
It was interesting to see Mangrove Partners poke an air breathing root into Biota.
As we all know, they led the proxy war against the hapless Biota to suck back more cash and improve the terms of the merger deal strongly back toward Nabi. They pitilessly gutted the deal. We were the first and second stupid little pigs and they were the wolf. They blew the house down.
Tried as I might, I couldn't find the previous status of their holding. So maybe that massive 167 shares are new.
If so, then maybe they see another undervalued cashbox.
3. Crazy Idea
Here's a crazy idea. What if Australian Biota shareholders established another company. Let's call it Ozbiota Pty Ltd (OZBI). It establishes a constitution designed primarily to increase shareholder value through representation.
Every share you hold in Biota entitles you to a share in OZBI. You sign over voting proxies over those shares to the new entity.
It elects a board.
The company raises enough capital to run. Might cost 10 cents per share to play.
It then becomes a significant holder in Biota Pharmaceuticals.
As a service to shareholders, it could co-ordinate and facilitate trading on Nasdaq on behalf of all Australian holders. Yes, sellers as well as buyers. It could assist in voting at future AGMs.
Would it work?
Crazy, huh?
Monday, 11 November 2013
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