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Re: Leitrim post# 11223

Tuesday, 03/27/2007 3:46:07 PM

Tuesday, March 27, 2007 3:46:07 PM

Post# of 35337
Hi Leit...That same line of thinking has been part of my thinking as well...

My over-simplified guess on how things shake out is that there are two routes that could occur....

1) They commercilaize one or two techs in some fashion (ie-sale, jv, license, bus deal...etc) which leads to a change in valuation in the market and may provide some type of revenue/earnings forecasting off of which the street can better value the stcok...this then allows for a move off of the OTC.BB exchange and onto NASDAQ.....the stock moves into the teens and would then cause an acquiring company to pay the mid-twenties to high twenties type of number I have referred
in my previous guesses..then we as shareholders decide to ride the acquiring company's stock for the upside from fully commercializing TOVC's tech...

2)Some company that recognizes the long term value of Torvec's tech steps in and buys the company pre-commercialization, recognizing that Torvec's tech is essentially ready for production with the obvious final QC tweaks that one would expect pre-production...that acquisition number, in my opinion, would be at a discount compared to the huge number that this stuff is worth fully matured in the production / sales cycles over time...what is that number...??? My hunch is that it's in the high teens to 20 a share if it were to happen today...thats still a $600 million dollar deal..thats not chump change...if the acquirer appears as though they will be the right parent to grow the tech the way we as investors have envisioned it, then we hold on for the unlocking of the techs value over time...

I like both scenarios...neither of which are quick and easy...that is why we are waiting ...the payoff will be very good long term in either scenario...

The company is positioned to go in either direction from what I can see....I like what I see....this $4 still doesnot remotely reflect the value of Torvec, but it is what it is for the moment...

Ultimately, regardless of which route is taken, I believe that a $4 investment in Torvec today matures over the years to a number in the $100 range when all value is unlocked...

We will never run out of ping pong balls at Tor Acres.....




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