Elite Pharmaceuticals Inc (ELTP)

[HGilS]

Reddit discussion

$ELTP - Purdue Pharma Sues ELTP!
emoji:Bagger: Bullish
emoji:Bullish:
Why is this great news for ELTP? Consider these factors - the last one is a game changer!

Purdue's political and social capital is near zero. No one wants to be the judge that shows them any favor in a case. Purdue and the Sackler family are poison.
An Indian company was sued for something similar and Purdue lost in their attempt to protect their patents. Since there is precedence, ELTP should skate to an easy win.
Most importantly - why would Purdue only sue ONE company in the US about this? It likely means that ELTP was the first applicant to get their submission in for generic Oxy.
The first applicant to get approved usually gets a 6 month exclusive right to sell the generic before any of the other competitors. Kirkov has already shown how effective he has been since starting the sales team up last year in house, and has a 10% market penetration now in to the Adderall market. What will he do with a 6 month head start on Oxy? 20%, 30%, 50%?

Let's only assume it's a 20% penetration in to an $800 million Oxy market. That alone would drive up revenues by 400%. This is without counting the $5.1 BILLION IQVIA market value of their other ANDA submitted for approval