Tangent Update: Mr. Shkreli’s Stake In KaloBios: “All Gone!”

As of 6 AM EDT, this very fine morning(!), a Form 4, and a Schedule 13D amendment were filed at the SEC EDGAR window — the former of which indicates that in a private transaction (apparently one buyer, with two separate tranches), on last Thursday and Friday — Martin Shkreli disposed of 1,222,929 shares — i.e., all his remaining shares of KaloBios — at $3.10.

That $3.10 figure represents about a 10 per cent discount to those days’ NASDAQ pink sheet quoted trading prices.

So, now we wait to see if KaloBios was the buyer (at the agreed discount for the call) — or if it was someone else. [UPDATE: I suppose it could be that all parties agreed that Sable Fiduciary Limited, on behalf of Cortleigh Limited, could step in and acquire. If you’ve been reading the sattelite site, you’ll likely recall that last month, a BVI/UK entity or set of entities acquired more than a million KaloBios shares — maybe seeing an easy way to add to the position — on the cheap. On a moment’s reflection, I must admit to that possibility.]

All in, I suspect it was KaloBios. And (as the applicable rules mandate) the company whoever it is, they will have to confirm that (as this will be more than five per cent of KaloBios’ outstandings), in a subsequent SEC filing. My bet had been, as of almost a month ago, that Dr. Durrant and the board were just counting the days until the company could call the shares away from him. I think we just saw that happen.

SECOND UPDATE — Per PathoPhilia, John Carroll, at EndPoints — reports that Dr. Durrant confirms it was a third party buyer — which would mean that KaloBios agreed to the investor — and the terms. So now I am guessing it is the BVI and British investors mentioned above (graphic at right). They will then amend that SEC Schedule 13 at quarter’s end.

In any event, “bub’ bye — lil’ guy. . . .” In a bit of poetic justice — KaloBios’ NASDAQ pink sheet price just jumped over 14 per cent at the open, on this definitive news of his ghosting (this, despite that these 1.2 million shares were being sold at 10 per cent below current trading prices! Hilarious!). [I think this will likely close out our cross posts between the two sites.]



There are no comments on this post.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: