BB's Stock Haven

[Jukimol]

RPC News!

Slow holiday season sees increased activity for Radient Pharmaceuticals

http://www.tradingmarkets.com/news/stock-alert/rpc_slow-holiday-season-sees-increased-activity-for-radient-pharmaceuticals-1390728.html

One stock that has found activity during the holiday season, generally considered one of the slowest times in on Wall Street, has been Radient Pharmaceuticals Corporation (AMEX: RPC | PowerRating), the big board listed micro-cap headquartered in Tustin, California is anticipating a debt to equity
swap that could strengthen the company if approved by the NYSE Amex on January 6th.

RPC's shares have been climbing from near 52-week lows
as investors have learned that the company is in position to eliminate up to $32,789,322 in liabilities, made up mostly of derivative liabilities and convertible notes.

"Based upon all of these liabilities being eliminated, RPC would then have approximately $22,130,106 in total shareholder equity," explained Douglas MacLellan, CEO of the company.

Both shareholders and debt holders agreed to convert the company's debt at RPC's annual meeting given the company's strong re-positioning in the marketplace including two recent moves involving its subsidiary Jade Pharmaceuticals, which is located in Shenzhen, China.

Those spin-off maneuvers involving Jade Pharmaceuticals and the company's CIT technology have also put the company in position to increase value and market cap significantly, according to MacLellan.

"This is something that the media has not really focused a great deal of attention on so far, but we anticipate that these two key transactions could bring as much as $80 million in additional value to the RPC shareholders in 2011."

The company's resources are concentrated in area of In Vitro Diagnostic Cancer Tests which have been clinically proven to detect multiple forms of cancer at very early stages, but like most biotechs who spent a great deal of money preparing their product for market, debt has been a heavy burden. It appears that is all about to change thanks to the forward thinking plans and vision of the leadership and shareholders.

The company, whose market cap stands at only $33.4 million, is vastly undervalued when compared to most of its competitors, but shares should feel the impact of these developments. Several analysts feel that converting the debt and spinning off the Chinese operations eliminates much of the risk associated with the stock. With a 12-month price target of $4 per share, Radient Pharmaceuticals appears on our list as one to own in 2011.