Elite Pharmaceuticals Inc (ELTP)

[tangerine]

Poorme - We covered this yesterday and about 10x before

I have given you the numbers many times. In the Q for sept 2011, the fully diluted count was at 454m. This includes all the warrants, milestone shares, preferred. It is now at about 527 with LPC deal. For all these shares to come to light, that would mean the following

1)All the warrants converted - lots of cash to Elite

2) All the EPIC drugs were filed and approved - Pretty much straight profit to Elite forever, and warrant conversions....again lots of cash

3)Preferred converted which means the little remaining finance dilution from old bad deals is completely over. Almost over now

4)We cashed in all the LPC funds to fund many trials and studies - However if all the warrants cashed out, we wouldn't need this money would we? So you can't really claim both.

And this doesn't include Novel which changes everything

And if all these things happened and all these shares came to light and lets say the number was at 500m....(old warrants will be coming off) the market cap at the current PPS would be about 40m dollars.

I have a current value on Elite of about 125m dollars now. You think with 20-25 drugs bringing in revenue, all the studies and ADT products, all the other products and partnerships that would come in this timeline, the company would only be worth 40m dollars? It would be worth a lot more then that without the abuse deterrent products!!!!

Lets be real here. The company is ridiculously undervalued as it is. Add all those other items and what is the company worth? And for all these shares to come to light I think we are in the 15-20m in cash range. You have any idea how many products they could develop with that cash?

And this still doesn't include Novel

and of course profit

Who says we are? I was playing lets pretend to the max extent and still being conservative.

The company already told you that it costs about 4m to run the company. Add in a couple additional employees, added health care costs noted, lets say the number is now 4.7m dollars a year.

We know revenues are growing, 40% of the products were not even in this Qs record results, that means that if the projected 6-10 million dollar annual run rate is hit..(We are at 6m now)

That will leave several million for studies, trials, PD, and only growing.

The point is that if you want to discuss all the shares in the diluted count, you have to discuss what they represent which is revenue. And the incredible market for ADT products make this whole conversation silly.