Morgan Stanley buys up NWA stock
Feb 15, 2007, 10:47 am
#1
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Morgan Stanley buys up NWA stock
From the Detroit Free Press this morning:
Morgan Stanley, the second-largest U.S. securities firm, purchased 5.72 million shares of Northwest Airlines Corp. stock, according to a filing with the United States Securities and Exchange Commission on Thursday.
The purchase makes Morgan Stanley the second-largest shareholder of the bankrupt Eagan, Minn.-based airline carrier.
Northwest, which has one of its main hubs at Detroit Metro Airport, filed for Chapter 11 bankruptcy protection on Sept. 14, 2005. The airline hopes to emerge from bankruptcy sometime in the second quarter.
That is the whole article. Considering the stock is worthless once NW gets out of BK, could this be a sign of a possible hostile takeover?
Morgan Stanley, the second-largest U.S. securities firm, purchased 5.72 million shares of Northwest Airlines Corp. stock, according to a filing with the United States Securities and Exchange Commission on Thursday.
The purchase makes Morgan Stanley the second-largest shareholder of the bankrupt Eagan, Minn.-based airline carrier.
Northwest, which has one of its main hubs at Detroit Metro Airport, filed for Chapter 11 bankruptcy protection on Sept. 14, 2005. The airline hopes to emerge from bankruptcy sometime in the second quarter.
That is the whole article. Considering the stock is worthless once NW gets out of BK, could this be a sign of a possible hostile takeover?
Feb 15, 2007, 11:06 am
#2
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That is really odd, unless Morgan Stanley has gotten into day trading. This really does not make a whole lot of sense. Other than a takeover.
Feb 15, 2007, 11:09 am
#3
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I don't understand the stock market well-enough to speculate on what this really means.
But I plan to enjoy reading all the Chicken Little comments sure to ensue.
But I plan to enjoy reading all the Chicken Little comments sure to ensue.
Feb 15, 2007, 11:24 am
#4
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I agree, this is really odd.
Feb 15, 2007, 11:41 am
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I do believe that Roy J. Bostock serves on the Board of Directors of both Morgan Stanley and Northwest Airlines.
Feb 15, 2007, 11:47 am
#7
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Here's a link to the Schedule 13G:
http://www.sec.gov/Archives/edgar/da...stairlines.txt
I agree with the others; very odd indeed.
http://www.sec.gov/Archives/edgar/da...stairlines.txt
I agree with the others; very odd indeed.
Feb 15, 2007, 11:53 am
#8
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this is the NEW stock after BK the old shares are worthless
Feb 15, 2007, 11:55 am
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"More to it" + "13G "
Now it makes sense .. tho there's still lots of folks trading NWACQ daily at 2.50~3.10 .. and presumably making a few bucks for the effort.
/.
Now it makes sense .. tho there's still lots of folks trading NWACQ daily at 2.50~3.10 .. and presumably making a few bucks for the effort.
/.
Feb 15, 2007, 12:03 pm
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Feb 15, 2007, 12:05 pm
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So is it Morgan Stanley or J.P. Morgan?
Feb 15, 2007, 12:10 pm
#12
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Feb 15, 2007, 12:25 pm
#13
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So yeah, wish I had bought some stock when it was $0.50!
Feb 15, 2007, 12:47 pm
#14
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There are two different transactions here. One, in the OP, is a purchase by Morgan Stanley of Northwest Common (NWACQ). You can see this is so by the CUSIP number in the SEC filing. MS could be buying this for their own book or for one of their funds (they manage several hedge funds). Or possibly on behalf of a client. Owl Creek (the hedge fund that has been agitating for a cut of the pie) uses MS as their broker as can be seen in this SEC filing:
http://www.sec.gov/Archives/edgar/da...-07-000178.txt
The second is a secondary offering once NW emerges from bankruptcy. This will be managed by JP Morgan.
http://www.sec.gov/Archives/edgar/da...-07-000178.txt
The second is a secondary offering once NW emerges from bankruptcy. This will be managed by JP Morgan.
Feb 15, 2007, 1:15 pm
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