Titan Pharmaceuticals Inc (TTNP)

[Doctor Detroit]

So the question comes down to how likely is a partnership deal by May 14th.

In terminating the license agreement, Braeburn will receive the benefit of not having to pay Titan up to $50 million in license revenue from sales of CAM2038 when it is eventually approved. So I think they are incentivized to move quickly, but perhaps not that quickly. Titan has about another quarter of revenue left in its treasury, although a Molteni deal might bring in another $2.4 million. The longer Braeburn waits, the more pressure Titan is placed under to concede to whatever they are asking for in order to get the rights back on a timely basis.

Horizon has agreed to forbear from declaring Titan in default under the "material adverse change" provision of the loan agreement until May 14th. Anything short of an entire pay off of Horizon would be unwise, as Titan would be under the constant threat of them foreclosing on the loan. So I think Titan needs to raise enough to pay off Horizon in full ($4 million) and fund its operations for the next 12 months.

Perhaps Titan will secure a partnership involving an upfront payment plus an equity infusion, killing two birds with one stone.