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

To: bob zagorin who wrote (23260)	7/16/1998 1:40:00 AM
From: Robert L. Ray	Read Replies (5) \| Respond to of 32384

Well I'd say "significant" might be too strong a word. It's really hard to say what Allergan's cost basis was on their shares so I don't know if a 5.5m gain would represent a significant amount of selling or not. I guess maybe I'm in a linear thinking rut here tonight. Allergan has been selling for a quarter and will be selling for "several" more quarters. Several to me has always meant 3. So there's a chance they've only sold a quarter of their holdings so far. That's of course just a guess based on my interpertation of the press release. If they had aready sold 50% or so (for example) it doesn't look like it would take them several more quarters to finish selling. Heck maybe they're so thrilled with the potential of the retinoid compounds they got in the partnership breakup that they need the money to do some rapid development work on them.

To: bob zagorin who wrote (23260)	7/16/1998 8:28:00 AM
From: Machaon	Read Replies (1) \| Respond to of 32384

Bob, this might explain why the BOP has been a little misleading. Each time the BOP showed positive accumulation, the BOP got bopped by Allergan selling. A question is: what does a Ligand shareholder do to take advantage of this short term situation. It seems almost sure that, every time LGND rallies, Allergan is going to jump in and dump shares, IMHO. I guess, the thing to do, then, is establish a trading position to take advantage of this. I want to hold my long term shares, because I feel that LGND is a very good value, and the situation might change, with a significant announcements by Ligand. But the writing is on the wall, over the short time, and it wouldn't hurt to have a trading position also. One could also have a stragedy of having a trading position, and also trying to play short-term "puts" on Ligand, any time that there is a rally. Any thoughts? Regards, Bob