Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Biotech / Medical : Ligand (LGND) Breakout! -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (22222)	6/14/1998 1:55:00 PM
From: Hippieslayer	Read Replies (1) \| Respond to of 32384

Ralf, 1st, thank you for posting some very relevant info. 2nd, how did you compile this info. 3rd, we will see in in a year or two whether or not the severe dilution had an adverse affect on the stock price. time will tell. Thanks again. hope this opens up some eyes but I doubt it. Cult members rarely see clearly.

To: Spekulatius who wrote (22222)	6/14/1998 5:20:00 PM
From: Henry Niman	Read Replies (2) \| Respond to of 32384

Ralf, I don't think that you follow LGND very closely. They went public in 1992 (as LGNDA - LGNDB was not traded then) and at that time there were about 15 million shares outstanding. LGND's dilution is a bit steeper than the Biotechs that you follow. However, LGND acquired GLYC and ALRT over the time period that you posted. How many Biotechs did the ones that you cover acquire?

To: Spekulatius who wrote (22222)	6/14/1998 6:38:00 PM
From: Dan O.	Respond to of 32384

Re: dilution. Something everyone is missing here. Dilution is a GOOD thing. LGND had earnings of -$0.73 last quarter. If they had 1/2 as many shares the earnings would have been -$1.46. Seriously, issuing shares to fund acquisition and growth is a time honoured tradition. As to whether Ligand has gone too far remains to be seen. They are funding one of the strongest pipelines out there. As management holds quite a bit of stock and options I feel that they are as sensitive (to the dilution vs other forms of debt issue) as we are, probably more so. As to whether it is the right thing to do, I haven't a clue. We should have a pretty good idea by 2005. Dan Ogens