First Manhattan Raises Stake in VIVUS (VVUS) to 7.23%; Has Discussions with Management - InvestingChannel

First Manhattan Raises Stake in VIVUS (VVUS) to 7.23%; Has Discussions with Management

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In a 13D filing on Vivus, Inc. (NASDAQ: VVUS), hedge fund First Manhattan disclosed a 7.23%, or 7,275,144 share, stake in the company. This is up 49.03% from the 4,881,709 shares held at the end of the latest quarter ending September 30, 2012.

The firm commented: “The Reporting Persons initially acquired beneficial ownership of the shares of Common Stock of the Issuer for investment purposes because they believed the Shares represented an attractive investment opportunity. Recently, the Reporting Persons have become concerned about the declining value of the shares of the Issuer and the strategic direction of its management. In particular, the Reporting Persons have become more concerned about the Qsymia launch, the lack of revenue guidance from the Issuer as compared to analyst estimates, and management’s repeated statements that it intends to follow its commercial partnering strategy of “renting” a second detail position on a large pharmaceutical sales force instead of a more traditional partnership structure. As a result, the Reporting Persons have had discussions with the Issuer’s management, and expect to continue to have similar discussions with management, the Board of Directors of the Issuer, other shareholders of the Issuer and other relevant parties, relating to the Issuer’s business, operations, strategy, governance, future plans and related matters.

Depending upon, among other things, the outcome of the discussions referenced above, current and anticipated future trading prices for the shares of Common Stock, the financial condition, results of operations and prospects of the Issuer and its businesses, other investment opportunities available to the Reporting Persons and the pooled investment accounts and Accounts they manage, conditions in the securities markets, general economic conditions and other factors that the Reporting Persons deem relevant, the Reporting Persons may from time to time acquire additional shares of Common Stock or sell shares of Common Stock in the open market, in privately negotiated transactions or otherwise, and may take such other actions with respect to their investment in the Issuer as they may deem appropriate, including, without limitation, changing their intention with respect to any of the matters enumerated in clauses (a) through (j) of Item 4 of Schedule 13D.”

For more notable holders of Vivus, Inc. stock click here.

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