Well Third Point has forced a shake-up at PDL. CEO resigning, selling their commercial products/assets, going back to their knitting–product development. Only bad thing was the announcement that Nuvion was no good. Stock obviously got hammered yesterday–down $5 to $18.80, below our original buy price of $19.31.
The value here has diminished. We think it is still worth $25-$30 to a buyer.
Third Point is pressing the sale of the whole company, not just a part of it and the Chairman’s (Gage) resignation.
We will hold and look for an exit above our buy price (just hate to lose money). So if you see $20–sell PDLI.