Elite Pharmaceuticals Inc (ELTP)

[no2koolaid]

That is an incorrect assumption. While an acquisition does not allow a firm to retreat from its debt or contractual obligations, as does bankruptcy, a contractual agreement will usually have language governing a change of control (e.g.; M&A) and the language would specifically alter the agreement to the extent that it would allow for Elite to forego the remaining payment/s to re-gain control over the commercialization of ELI200. There is nothing extraordinary about such an agreement. I could continue to offer the logic, but this is enough to make the point - there should be no assumptions Epic maintains control over the commercialization of ELI200 nor that Elite will have received the milestone payment due upon acceptance by the FDA of ELI200. This is, of course, why CEOs do not tell shareholders everything. But that should be obvious.