Hemispherx’ Institutional Buying

Hemispherx’ Institutional Buying post image

While we’re still waiting for the FDA to make a decision regarding Hemisperx Biopharma’s (HEB – $2.00) NDA for Ampligen to treat Chronic Fatigue Syndrome (CFS), mutual funds have been big buyers of HEB’s shares.

In the second quarter, ending June 30, 2009, mutual funds have added 8.36 million shares of Hemispherx, or 6.6% of total shares outstanding, to their holdings.

Each quarter institutional investment managers that have more than $100 million under management have to file a form 13F with the Securities and Exchange Commission in which they list all securities held. Luckily there’s a website called “Mutual Fund Facts About Individual Stocks” (mffais.com) that tracks all these investments.

If you visit www.mffais.com and do a search query on HEB, you’ll find that big names like Goldman Sachs Group Inc, Bank Of New York Mellon Corp, Barclays Global Investors Uk Holdings Ltd, Axa and Blackrock Investment Management Llc have bought substantial blocks of stock during the second quarter. At the same time you’ll see that their hasn’t been a lot of institutional selling.

Now we’re not saying that institutions “know more” and that this fact increases the chance to get an approval from the FDA. To us, it’s just an indication that Hemispherx’ name is known on Wall Street and that institutions are now willing to buy some shares of HEB, something that hasn’t been the case for many years.

All in all we believe it’s a positive fact, especially because there has been so little selling at the same time. We’re curious to find out as 13F’s continue to be filed.

2 comments… add one
  • john August 16, 2009, 8:52 pm

    To say that the so called BIG BOYS are buying up heb shares is
    laughable at best… HEB is less than 10% owned by the big boys……
    If you look at other small biotechs that have alot of promise..they
    are 40-80% owned by the big guys….ex…sppi
    acad…dndn..hgsi…alth..and there are plenty more……So dont go
    gettin ALL excited .over a measly 10%

  • chris August 17, 2009, 1:57 am

    If you visit http://www.mffais.com and do a search query on HEB, you’ll find that CEO William A. Carter is selling shares of his own company as of august 13th. http://www.mffais.com/396768. I’m new to investing, so would anyone be able to explain to me why he might be doing this? Is he trying to sell before the drug gets declined or is he trying to raise money for the company?

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