Oh dear, oh dear an EGM to give our fast-talking but slow-acting execs more incentive. Really...and what happened to the last swathe of incentive - did it die "on the vine" as it were through oversight...did I miss a return to 8op?
No? you mean it's still about 25p like it was ages ago with the risk of an exec take-over?
SO "what" has happened since them? Where is the incentive for shareholders?
Ah! there's the real issue - don't pay the execs until they produce some sales and profits.
Grief, we can't insist they perform properly - where would it end?

When I was employed, one took pride in doing a job well...and that usually meant better than the lowest acceptable - otherwise your card was marked!

Oh well, maybe this is an EGM worth paying for? - can't execs work without such interruptions....securing a deal or some trial success would be nice -
Skypharma - says it all - pie-pharma more likely - perhaps we should insist on a name-change to reflect the executives likely successes.

Let's guess that there is a deal in the offing and they expect this will move the sp from 25p to 50p - SO What! - where is the 80p?
Now let's say that 80p was the sp for neutral returns ( for may investors)...therefore if the execs can achieve 160p (steady for, say 3 months) then they will have achieved something and "might" be worth a bonus of 10% salary......increased to 20% if the company is generating profits such that the bank-balance is real (ie above any outstanding loans/debts/liabilities) nad there is no cash-call during the next 12 months (with the sp remaining at 1.60-level)...only then would the bonus be paid. Any exec that can't hack it, or is shoved out etc. forfeits their bonuses and must repay any already paid.

Makes me mad these Options, incentive plans etc - have they no shame?
Get on with your work!

[ the bonus is to be paid 100% of salary if the sp reaches 55p - but there is a "initial grant" of up to 300% of salary for the top execs- ouch! - see documents - and DYOR ]

Looks pretty easy to me! A year ago it was 40p - shouldn't investments go up?
They could show some belief in the company by buying shares...say 100k's at 40p - would make the market think. (That's each.... ).

Grr - does any other shareholder feel cheated from the Action?

Maybe good news, I'll believe it when it's done.
It does seem a bit careless to get into this situation in the first place....lacklustre management and maybe products that just don't quite match the hype.

This co has a long-history of non-delivery.

Let's hope the Bond issue is cleaned up.

1/09/2008


SkyePharma bond renegotiation deal seen 'this week'
AFX


LONDON, Sept 1 (Reuters) - Specialist drug delivery company SkyePharma Plc is set to announce a renegotiation of its convertible bonds this week, according to two analysts who cover the sector.

Both analysts, who asked not to be named, spoke to Reuters separately on Monday.

The company repeated on Monday a statement from last week, that a deal would be announced 'shortly'.

The company has a put option for 69 million pounds ($126.3 million) convertible bonds due at the earliest in May 2009, and another put option for 20 million pounds due in June 2010 at the earliest.

Without renegotiation, exercising these options could bankrupt the company.

The renegotiation of the bonds is expected to provide significant support to the share price. The shares were up 5 percent at 4.2 pence at 0849 GMT on Monday.

'The news, when the renegotiation is announced, should help drive the share price, therefore we're buyers. I still think fundamentally on an operational basis the stock is worth 31 pence per share,' Landsbanki analyst Shawn Manning said last week.

(Reporting by Ben Deighton; editing by Sue Thomas) ' ($1=.5461 Pound) Keywords: SKYEPHARMA/BONDS

tf.TFN-Europe_newsdesk@thomsonreuters.com

nolt a stock i have followed even vaguely for a very long time ...... certainly the company has had a pretty torrid time, but the chart below shows an interesting break-out.

Toya is a great follower of pharmas (and perhaps farmers too!), so she may be a better source for reasoned comment

Hi Cynic :) I rather lost faith in this company some time ago. But if they can renegotiate those bonds - and the market looks like it's anticipating that they will - then it might be worth another look.

If not: take heed of the warnings (as in above statement) that it could bankrupt the company

Some thing is better than nothing it would not benefit the bondholders to bankrupt the company I topped up this morning this will recover.

You could certainly make a tidy profit if/when it does Driver!

Toya
Hope so still a loss at the moment average 6.7p

Well good luck then, Driver! I realise I may miss out here but I'm not going to shuffle things around today.

hope u're not too badly burnt driver ..... everyone looks to be diving for the lifeboats now the new terms are out

cynic
Its not really a burning the sp is just calculating the new deal.
You are entitled to 172 shares for every 100 bought at 1.25p if you take up the rights issue.

Well, I'm not worried now, I certainly was before! I don't have vast sums of money riding on this share but I've always felt that, if they could get Flutiform to market then SKP's future would be assured: apart from crossing the t's and dotting the i's as it were, mission accomplished. Rosy future?, yes I believe so. Topped up yesterday at what I think is still a bargain price of 4.37.

i am very thick on these things, but presumably the shares have not yet gone xr, so surely the re-calc should not be done until they do

Well, Well, Well - what a mess these execs have achieved - Bonds that ran out to 2024 (?) are to be re-negotiated at a time when money is tight - did they buy with eyes shut? I hope their (then(), Advisors offered a Fee refund!

All this takes us away from the real issue - that this is a Co that trumpets much and has (so-far), failed to deliver a thing.
I recall several re-financing, so I don't think I'll put any more into this waster. This is yet further Dilution - Grr!
/

The CONsolidation will give me an Op to buy cheaply, once the Execs have fallen out of the limelight.
Er, is there any good news buried inside this package of Gloom? - - - answers on a small stamp, please.

hangon
Yes the company isnt going bankrupt and Flutiform will be worth a fortune when launched.

has this drug passed ALL its trials yet? ...... if not, then your statement is very brave indeed

driver how many shares @ 4p do you need in order to make a fortune?

Not going bankrupt, eh? So you think these Bonds are going to be renegotiated "down"? - - - of course not...they will be renegotiated so we, shareholders suffer more. . . .that's why I shall wait . . . . . . . until the dust settles - and this "Could be some time"

For we all know that any sp can halve, and halve again.....few of us thought this would fall to 35p - but that looks a long-way off (ignoring the CONsolidation).

The reason for the low sp is the failure to achieve any regulatory clearance and massive debts that Execs must have found in their accounts after a particularly good drinking session. Where is the evidence "This is a good'un?"
- - - - - - - - No, I don't see it either.
Perhaps the name said it all:- sky - only we thought it meant we'd have riches - but it obscured sky-high costs.
+Anyone remember 80p - them thar days, eh?

The recent spike was caused by feel-good (manipulative) folk jumping on this news story and making MUCH more of it that it was worth...in a few days we shall see the Bond-news for what it is...and be v.lucky if it's at all neutral. The Bond-holders can takeover the business - it's their call....IMHO.

so nearly allowed myself to get suckered into this one ...... phew!

Rights Issue is confused by CONsolidation - DYOR -

Rights will be 1.5p multiplied by 100.
- based on 172 new shares for every 100 Existing.

. . . . Oh dear . . . . .
First you have to work out yr entirtlement ( grief, do they think there will be a Rush?).....then calculate your payment . . . . . . but expect to receive a CONsolidated share certificate of 100th of your "enlarged holding"

This example is for over 1million shares, - at current price that could have cost you 500-grand!( 50p/spare).
SO this stock is looking VERY sick today.

Suppose you have 1,111,000 shares.
divided by 100 = 11,110
multiply by 172 = 1,910,920...
you can pay 28,663.80
New holding in old-stock is 1,111,000 + 1,910.920
= 3,021,920

You will get a Certificate for 30,219. - that's your holding in "New" Ordinary shares.

+ + + + Can someone check this is correct?

What it means is that YOU are investing nearly 1 for every "new share" in this business - the Question in my mind is "Is it worth it?", for your old investment expectation appear to be worth very little.

Are MM's blowing smoke?
Sells =9m, with Buys=3m
-yet sp rises 6% - - - - very odd - - - currently c. 2.5p
so why would anyone pay nearly double the (soon), Placing price . . . . ? No, not me either.

I'm doubtful...that I'll pay the 1.5p being asked - so I'm smelling a rat - these shares are being "soupped" ( is that a new "technical" Term?, as in souped-up).