RE:Oakville - show some leadership please provide an updateWith respect, what kind of update do you expect them to give at this point....?
I am no fan of CEO Mark Thompson, but they have done about as much as they can do to date from what I can tell:
1) CXR provided an update on August 3, which reads in part:
"We remain highly confident in our business prospects going forward," said Concordia Chairman and CEO Mark Thompson. "We have a strong team across the world who help provide patients with important medicines. The team is supported by durable company fundamentals; Concordia has no liquidity or debt issues, a strong free cash profile, and sales channels in more than 100 countries. We remain optimistic about our long-term future."
Concordia's consolidated business consists of three operating segments:
- Concordia North America, which has a diversified product portfolio that focuses primarily on the United States pharmaceutical market;
- Orphan Drugs, which is intended to provide growth opportunities through the expansion into new indications and new markets for existing or acquired orphan drugs;
- Concordia International, which is comprised of Concordia's International segment acquired by Concordia on October 21, 2015.
To address recent reports, Concordia also confirmed today that there was one formulary change affecting two products in its North America portfolio.
CVS Health confirmed this week that Nilandron®, Concordia's treatment for metastatic prostate cancer, and Dutoprol®, a treatment for high blood pressure, will be removed from CVS Health's formulary.
Concordia believes this exclusion is immaterial to its business. According to IMS prescription data, CVS did not reimburse for Nilandron® at all in the past three years and has reimbursed Dutoprol® twice in 2016.
Concordia intends to provide the market with a broader update on its business on August 12, 2016 when the Company discloses its second quarter, 2016 results.
2) As promised, on August 12, CXR reported their Q2 2016 results and held a Conference Call where they took questions from analysts. If you're interested, you can view a transcript of the call on the Seeking Alpha website.
3) On Agust 15, CXR issued a press release announcing a cross currency swap agreement.
4) On August 22, CXR issued a press release revealing that CEO Mark Thompson was notified that 505,000 CXR shares he held were sold as part of a margin call and that he continues to hold over 1.5 million CXR shares.
Given the above, I'm not sure what else the company can say publically at this point? The firm is still examining strategic alternatives (hopefully involving the sale of CXR to another firm) and cannot comment on this process other than to say it is ongoing.
Further, CXR cannot control what short sellers do, what current CXR shareholders do to aid and abet these short sellers (shorts make money when longs drive down the ask price on shares by bailing out).
If there is a sale in the works, it will hopefully be at a signficant premium to the current share price and shorts will be wrong.
Finally, as I stated in an earlier post, if such a takeover announcement does not occur by the end of September, it is my view that CXR's Board needs to replace Mr. Thompson as Chairman and CEO.