Titan Pharmaceuticals Inc (TTNP)

[Doctor Detroit]

I really encourage anyone interested to read the most recent Zacks report. While we spend a lot of time on the soap opera of probuphine, it is only part of a bigger picture. The most important thing about probuphine is not the revenue it will generate: it is that the Pro Neura platform was approved to deliver a controlled substance, and withstood the most rigorous review the FDA could deal out.

Things should be easier for ropinirole and T3. Zacks is predicting a 2019 approval for the ropinirole implant, and I would assume a 2020 approval for the T3 implant.

Titan has 14 employees, and they are not hiring. That makes them a really easy acquisition target. No debt to deal with, very little severance benefits to pay out. It seems like their strategy is to create value by proving safety and efficacy of the proven delivery system by completing Phase I and possibly Phase II trials.

By 2018 they should have 2 new drugs ready to enter phase III trials using an FDA approved drug delivery system to delivery generic drugs already approved by the FDA (remember the T3 and ropinirole implants last 3 months, so the trials will be completed in half the time as the six month probuphine implants). Pretty low risk. Zacks relatively conservative market analysis (remember, they are only predicting 2-3% of the addiction market for probuphine) would have terminal annual sales of $1.5 billion for those 2 new drugs.

In my opinion, their plan is to allow themselves to be bought out at that juncture.

Until then, we will scream and shout about probuphine sales, but that royalty revenue will only be the cherry on the sundae to the eventual buyer.