Mannkind Corp. (NASDAQ:MNKD) has issued a proxy to stockholders asking them for permission to increase their authorized share count from 350 million to 550 million shares.
Currently, they have 150 million authorized shares remaining currently. Mannkind would like to have 350 million shares available to them. This could indicate more dilution is coming or it could just be arming their warchest in case their is a long delay getting approval for AFREEZA, their inhaleable insulin drug currently in trials.
I don't think it indicates bad news, just something companies do in case they need to sell shares quickly. With the share price not what it once was, the need to increase their count could be simple mechanics. As the stock price goes lower, more share would be needed to generate similar capital from let's say 2 or 3 years ago. Raising 200 million dollars would require a lot more shares today than in the past.
This could present a buying opportunity coming up. It appears to not have hit the main stream news as of yet.