Easton Pharmaceuticals, Inc. (EAPH)

[Sage7243]

Sounds to me as if Vodis needs Easton's cash to ensure a tip top clean, environmentally sound facility in order to attain that new license, but Easton is like "No, dude, you must be smoking high to think we will pay 550k+ stock."

So, Easton shops around, adding to its pot bouquet, while Vodis courts a sucker company with bigger pockets.

Either Vodis comes around or they don't, but Easton cannot risk the entire pot for the other drugs' pan.

I think Easton Rx is trying to preserve shareholder value and stave off dilution.

And, the longer Vodis waits, the better the chance that Easton will not really need them, and EAPH can negotiate downward.

Classic negotiation. 500 grand would need a couple years of cancer patient prescriptions to recoup. That's a lot of $$$.