0001214659-18-007020.txt : 20181109 0001214659-18-007020.hdr.sgml : 20181109 20181109171529 ACCESSION NUMBER: 0001214659-18-007020 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20181109 DATE AS OF CHANGE: 20181109 GROUP MEMBERS: KEVIN C. TANG GROUP MEMBERS: TANG CAPITAL MANAGEMENT, LLC SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: Odonate Therapeutics, Inc. CENTRAL INDEX KEY: 0001717452 STANDARD INDUSTRIAL CLASSIFICATION: PHARMACEUTICAL PREPARATIONS [2834] IRS NUMBER: 822493065 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-90212 FILM NUMBER: 181174015 BUSINESS ADDRESS: STREET 1: 4747 EXECUTIVE DRIVE STREET 2: SUITE 510 CITY: SAN DIEGO STATE: CA ZIP: 92121 BUSINESS PHONE: 858-200-3830 MAIL ADDRESS: STREET 1: 4747 EXECUTIVE DRIVE STREET 2: SUITE 510 CITY: SAN DIEGO STATE: CA ZIP: 92121 FORMER COMPANY: FORMER CONFORMED NAME: Odonate Therapeutics, Inc DATE OF NAME CHANGE: 20171207 FORMER COMPANY: FORMER CONFORMED NAME: Odonate Therapeutics, LLC DATE OF NAME CHANGE: 20170919 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: TANG CAPITAL PARTNERS LP CENTRAL INDEX KEY: 0001191935 IRS NUMBER: 680517277 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 4747 EXECUTIVE DRIVE STREET 2: SUITE 510 CITY: SAN DIEGO STATE: CA ZIP: 92121 BUSINESS PHONE: 858-200-3830 MAIL ADDRESS: STREET 1: 4747 EXECUTIVE DRIVE STREET 2: SUITE 510 CITY: SAN DIEGO STATE: CA ZIP: 92121 SC 13D/A 1 r116181sc13da2.htm AMENDMENT NO. 2

 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
 
SCHEDULE 13D/A
Under the Securities Exchange Act of 1934
(Amendment No. 2)*


Odonate Therapeutics, Inc.
(Name of Issuer)
 
Common Stock, par value $0.01
(Title of Class of Securities)
 
676079106
(CUSIP Number)
 
Kevin C. Tang
Tang Capital Management, LLC
4747 Executive Drive, Suite 510
San Diego, CA 92121
(858) 200-3830
(Name, Address and Telephone Number of Person Authorized to
Receive Notices and Communications)
 
November 1, 2018
(Date of Event which Requires Filing of this Statement)

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box. ☐

Note:  Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See § 240.13d-7 for other parties to whom copies are to be sent.

* The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page.

The information required on the remainder of this cover page shall not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934 (“Act”) or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes).

(Continued on following pages)
 
 
 
  Page 1 of 10 

 


CUSIP NO. 676079106
13D
Page 2 of 10

1.
Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
 
Tang Capital Partners, LP
2.
Check the Appropriate Box if a Member of a Group
(a)
(b) ý
3.
SEC Use Only
 
4.
Source of Funds
WC
5.
Check If Disclosure of Legal Proceeding Is Required Pursuant to Items 2(d) or 2(e)
6.
Citizenship or Place of Organization
Delaware
Number of
Shares Beneficially
Owned by
Each Reporting
Person With
7.
Sole Voting Power
0
8.
Shared Voting Power
13,851,042
9.
Sole Dispositive Power
0
10.
Shared Dispositive Power
13,851,042
11.
Aggregate Amount Beneficially Owned by Each Reporting Person
13,851,042
12.
Check if the Aggregate Amount in Row (11) Excludes Certain Shares          
13.
Percent of Class Represented by Amount in Row (11)
51.6%
14
Type of Reporting Person
PN
 
  Page 2 of 10 

 


CUSIP NO. 676079106
13D
Page 3 of 10

1.
Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
 
Tang Capital Management, LLC
2.
Check the Appropriate Box if a Member of a Group
(a)
(b) ý
3.
SEC Use Only
 
4.
Source of Funds
WC
5.
Check If Disclosure of Legal Proceeding Is Required Pursuant to Items 2(d) or 2(e)
6.
Citizenship or Place of Organization
Delaware
Number of
Shares Beneficially
Owned by
Each Reporting
Person With
7.
Sole Voting Power
0
8.
Shared Voting Power
13,851,042
9.
Sole Dispositive Power
0
10.
Shared Dispositive Power
13,851,042
11.
Aggregate Amount Beneficially Owned by Each Reporting Person
13,851,042
12.
Check if the Aggregate Amount in Row (11) Excludes Certain Shares          
13.
Percent of Class Represented by Amount in Row (11)
51.6%
14
Type of Reporting Person
OO
 
  Page 3 of 10 

 


CUSIP NO. 676079106
13D
Page 4 of 10

1.
Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
 
Kevin C. Tang
2.
Check the Appropriate Box if a Member of a Group
(a)
(b) ý
3.
SEC Use Only
 
4.
Source of Funds
PF, WC, OO
5.
Check If Disclosure of Legal Proceeding Is Required Pursuant to Items 2(d) or 2(e)
6.
Citizenship or Place of Organization
United States
Number of
Shares Beneficially
Owned by
Each Reporting
Person With
7.
Sole Voting Power
0
8.
Shared Voting Power
13,851,042
9.
Sole Dispositive Power
0
10.
Shared Dispositive Power
13,851,042
11.
Aggregate Amount Beneficially Owned by Each Reporting Person
13,851,042
12.
Check if the Aggregate Amount in Row (11) Excludes Certain Shares          
13.
Percent of Class Represented by Amount in Row (11)
51.6%
14
Type of Reporting Person
IN
 
  Page 4 of 10 

 

 

Explanatory Note: This Amendment No. 2 relates to and amends the Statement of Beneficial Ownership on Schedule 13D/A of Tang Capital Partners, LP, a Delaware limited partnership, Tang Capital Management, LLC, a Delaware limited liability company, and Kevin C. Tang, a United States citizen (each, a “Reporting Person” and collectively, the “Reporting Persons”), initially filed jointly by the Reporting Persons with the U.S. Securities and Exchange Commission (“SEC”) on December 18, 2017 and amended on August 24, 2018 (as amended, the “Statement”), with respect to the Common Stock, $0.01 par value (the “Common Stock”), of Odonate Therapeutics, Inc., a Delaware corporation (the “Issuer”).

 

Items 3, 5 and 6 of the Statement are hereby amended to the extent hereinafter expressly set forth. Except as amended hereby, the original disclosure set forth in the Statement shall remain unchanged. All capitalized terms used and not expressly defined herein have the respective meanings ascribed to such terms in the Statement. 

 

Item 3. Source and Amount of Funds or Other Consideration

 

Item 3 of the Statement is hereby amended to add the following:

 

Since August 24, 2018, the Reporting Persons have expended an aggregate of approximately $4,232,000 to purchase 230,000 shares of the Issuer’s Common Stock. Such purchases were effected through the open market. The Common Stock was acquired in the ordinary course of business. Subject to the following paragraph, Tang Capital Partners, LP used its own funds for the purchases, none of which were borrowed or otherwise obtained from any other source.

 

Tang Capital Partners, LP maintains commingled margin accounts with various financial institutions, which may extend margin credit to Tang Capital Partners, LP as and when required, to open or carry positions in the margin accounts, subject to applicable federal margin regulations, stock exchange rules and credit policies. In such instances, the positions held in the margin accounts are pledged as collateral security for the repayment of debit balances in the accounts. The margin accounts may from time to time have debit balances. Since multiple different securities are held in the margin accounts, it is not possible to determine the amounts, if any, of margin used to purchase the shares of Common Stock reported herein.

 
Item 5. Interest in Securities of the Issuer.
 

The information previously provided in response to Item 5 is hereby amended and restated by replacing the text thereof in its entirety with the following:

 
(a)           Amount beneficially owned and percentage of class:

Tang Capital Partners, LP

13,851,042 shares, representing 51.6% of the class

Tang Capital Management, LLC

13,851,042 shares, representing 51.6% of the class

Kevin C. Tang

13,851,042 shares, representing 51.6% of the class


 

  Page 5 of 10 

 

 

Tang Capital Partners, LP is the beneficial owner of 13,851,042 shares of the Issuer’s Common Stock. Tang Capital Partners, LP shares voting and dispositive power over such shares of Common Stock with Tang Capital Management, LLC and Kevin C. Tang. Subject to the arrangements described in Item 6 of this Statement, the shares reported as beneficially owned by the Reporting Persons include a total of 1,282,989 shares of Common Stock that are held of record by Odonate Holdings, LLC (“Holdings”). Holdings has granted a proxy to Tang Capital Partners, LP giving Tang Capital Partners, LP the authority to vote 154,285 shares. Holdings has also granted a proxy to the Issuer giving the Issuer the authority to vote 2,186,453 shares in the same proportion as the votes cast by other holders of the Issuer’s Common Stock. Of the 2,186,453 shares, Tang Capital Partners, LP controls the voting of 1,128,704 shares based on its proportional ownership in the Issuer.

 

The percentages used herein are based upon 26,831,345 shares of Common Stock outstanding as of November 7, 2018.

 

Tang Capital Management, LLC, as the general partner of Tang Capital Partners, LP, may be deemed to beneficially own the shares of the Issuer’s Common Stock owned by Tang Capital Partners, LP. Tang Capital Management, LLC shares voting and dispositive power over such shares with Tang Capital Partners, LP and Kevin C. Tang.

 

Kevin C. Tang, as the manager of Tang Capital Management, LLC, may be deemed to beneficially own the shares of the Issuer’s Common Stock beneficially owned by Tang Capital Partners, LP. Kevin C. Tang shares voting and dispositive power over such shares with Tang Capital Partners, LP and Tang Capital Management, LLC.

 
(b)           Voting and disposition powers:
 
Sole power to vote or direct the vote:
 
Tang Capital Partners, LP
0 shares
Tang Capital Management, LLC
0 shares
Kevin C. Tang
0 shares
 
Shared power to vote or direct the vote:

Tang Capital Partners, LP
13,851,042 shares
Tang Capital Management, LLC
13,851,042 shares
Kevin C. Tang
13,851,042 shares

Sole power to dispose or direct the disposition:

Tang Capital Partners, LP
0 shares
Tang Capital Management, LLC
0 shares
Kevin C. Tang
0 shares

Shared power to dispose or direct the disposition:

Tang Capital Partners, LP
13,851,042 shares
Tang Capital Management, LLC
13,851,042 shares
Kevin C. Tang
13,851,042 shares

 

  Page 6 of 10 

 

 

(c)          The Reporting Persons have engaged in the following transactions in the Issuer’s Common Stock during the last 60 days.

 

Entity Transaction Trade Date Shares Price/Share
       
Tang Capital Partners, LP Purchase September 18, 2018            10,000           $19.33871
Tang Capital Partners, LP Purchase September 18, 2018 10,000 $19.33662
Tang Capital Partners, LP Purchase September 18, 2018 10,000 $19.02903
Tang Capital Partners, LP Purchase September 18, 2018 10,000 $19.29824
Tang Capital Partners, LP Purchase September 18, 2018 10,000 $19.41615
Tang Capital Partners, LP Purchase September 19, 2018 10,000 $19.30866
Tang Capital Partners, LP Purchase September 19, 2018 2,017 $19.47837
Tang Capital Partners, LP Purchase September 20, 2018 7,983 $19.75218
Tang Capital Partners, LP Purchase September 20, 2018 10,000 $20.07889
Tang Capital Partners, LP Purchase September 20, 2018 10,000 $20.426710
Tang Capital Partners, LP Purchase September 24, 2018 10,000 $20.299311
Tang Capital Partners, LP Purchase September 24, 2018 10,000 $19.983912

 

 

_________________________

1 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.21 to $19.50. The Reporting Persons undertake to provide the Issuer, any security holder of the Issuer or the SEC staff, upon request, all information regarding the number of shares purchased at each price within the ranges set forth in Footnotes 1 through 25 herein.

2 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.25 to $19.50.

3 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $18.80 to $19.25.

4 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.07 to $19.50.

5 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.22 to $19.47.

6 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.20 to $19.50.

7 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.44 to $19.50.

8 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.34 to $19.90.

9 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.86 to $20.24.

10 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $20.22 to $20.50.

11 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $20.01 to $20.50.

12 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.51 to $20.50.

 

  Page 7 of 10 

 

 

Tang Capital Partners, LP Purchase September 25, 2018 10,000 $19.647713
Tang Capital Partners, LP Purchase September 26, 2018 10,000 $19.066414
Tang Capital Partners, LP Purchase September 27, 2018 6,199 $18.701315
Tang Capital Partners, LP Purchase September 28, 2018 3,801 $18.945616
Tang Capital Partners, LP Purchase September 28, 2018 10,000 $19.172217
Tang Capital Partners, LP Purchase September 28, 2018 20,000 $19.332218
Tang Capital Partners, LP Purchase October 23, 2018 10,000 $15.447919
Tang Capital Partners, LP Purchase October 23, 2018 6,687 $15.422520
Tang Capital Partners, LP Purchase October 24, 2018 3,313 $15.613621
Tang Capital Partners, LP Purchase October 24, 2018 10,000 $14.690422
Tang Capital Partners, LP Purchase October 25, 2018 9,765 $15.776723
Tang Capital Partners, LP Purchase October 26, 2018 235 $15.8500
Tang Capital Partners, LP Purchase October 29, 2018 10,000 $14.964224
Tang Capital Partners, LP Purchase November 1, 2018 10,000 $14.872725

 

 

(d)          N/A.


(e)          N/A.

 

 

 

 

_________________________

13 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.49 to $19.83.

14 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $18.99 to $19.38.

15 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $18.51 to $18.82.

16 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $18.77 to $19.13.

17 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $18.84 to $19.48.

18 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $19.01 to $19.61.

19 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $15.21 to $15.75.

20 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $15.25 to $15.57.

21 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $15.45 to $15.65.

22 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $14.34 to $15.00.

23 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $15.36 to $16.00.

24 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $14.81 to $15.00.

25 The price reported is a weighted-average price. These shares were purchased in multiple transactions at prices ranging from $14.64 to $15.00.

 

  Page 8 of 10 

 

 

Item 6. Contracts, Arrangements, Understandings or Relationships With Respect to Securities of the Issuer.

 

The information previously provided in response to Item 6 is hereby amended and restated by replacing the text thereof in its entirety with the following:

 

Reference is made to the relationships described in Item 5(a) of this Statement.

 

The Reporting Persons have entered into a Joint Filing Agreement. See Item 2.

 

The shares reported as beneficially owned by the Reporting Persons include a total of 1,282,989 shares of Common Stock that are held of record by Holdings as of the date this Statement is filed. Holdings has granted a proxy to: (a) Tang Capital Partners, LP giving Tang Capital Partners, LP the authority to vote 154,285 shares; and (b) the Issuer giving the Issuer the authority to vote 2,186,453 shares in the same proportion as the votes cast by other holders of the Issuer’s Common Stock. Of the 2,186,453 shares, Tang Capital Partners, LP controls the voting of 1,128,704 shares based on its proportional ownership in the Issuer. The proxy terminates upon the transfer or distribution of the shares subject to the proxy or the written agreement of the parties. The foregoing description is only a summary and is qualified in its entirety by reference to the complete text of the proxy, the form of which is filed as Exhibit 2 hereto.

 

Any of the Reporting Persons may from time to time acquire or dispose of Issuer securities. Such acquisitions or dispositions may be made in the open market or in privately negotiated transactions.

 

  Page 9 of 10 

 

 

SIGNATURES
 
After reasonable inquiry and to the best of his or its knowledge and belief, each of the following Reporting Persons certifies that the information set forth in this statement is true, complete and correct.
 
 
November 9, 2018

 
Tang Capital Partners, LP
 
       
       
 
By:
Tang Capital Management, LLC
 
       
 
By:
/s/ Kevin C. Tang
 
   
Kevin C. Tang, Manager
 
       
       
 
Tang Capital Management, LLC
 
       
 
By:
/s/ Kevin C. Tang
 
   
Kevin C. Tang, Manager
 
       
       
 
/s/ Kevin C. Tang
 
 
Kevin C. Tang
 
 

 

Page 10 of 10