It’s called a negotiation…contrary to what you may think, they do not happen overnight. July 1st was when the Amgen press release went out. Today is August 14th. Sorry to have to inform you but $10B+ deals can take months to negotiate. Also stop getting hung up on ‘anonymous sources’ and ‘unnamed person with close knowledge’…99.99% of the time those are BS leaks that one side is using to apply pressure the other side…again it is called a negotiation…and like love and war…all is fair.
To answerer a few of your questions…it doesn’t really matter what the stocks does day to day so stop worrying that is went from 136.87 to 124 – it really doesn’t mean anything in terms of a buyout price. All you are seeing is the reaction to a leak…which undoubtedly came from one of our suitors to shake out the weak stomachs and rattle Onyx a bit. It happens all the time in M&A’s. Next, stop thinking this is TC’s decision. He has the BOD, Centerview, and probably has a few other M&A consultants/experts in the room helping with this process. He is talking to our largest institutional investors to get a sense at where they are at in all of this. This is not some unilateral decision that TC is making. If we as a company stand our ground on whatever number the perceived value is say $160 in the minds of the ET/Centerview/BOD than that is a good thing. Why would you want to sell the company today for $130 if you think it is worth more? The shares you have do not have any value until you sell it so what’s the big deal if we don’t sell today, the stock goes to $85 and then six months from now we sell for $170? So no, if no one is willing to pay what ‘we’ think we are worth we don’t go running back to Amgen or whomever to get a deal. Remember we have a lot of cash on hand, we are narrowing losses, and we do not need to sell – especially on the cheap. We are in the driver’s seat in this whole thing and I’m glad that TC and the board are acting like it. Would you rather not wait six months for $170 than get $130 today? If you are very risk adverse then sell everything right now for $125 and buy back if the stock drops to $100 or below.
What I’m tired of reading on here is any time there is any sort of news – real or otherwise people on here freak out. If you don’t have the stomach for it sell it all now! It’s that easy and you will still make a lot of money and you can stop worrying about it every day.
