Replies to post #5138 on Pernix Therapeutics Holdings Inc. (fka PTXTQ)

[nsomniyak]

One more thought as to why GSK is only demanding $1MM of $21MM up front from PTX this year.

It occurs to me that if GSK was in fact looking to buy the company, they would want it to operate as effectively as possible until that deal is hammered out. By taking only a small payment up front, they effectively allow PTX to use the cash for operations, as opposed to having to cut corners due to being cash strapped.

I also think this sends a clear signal to PTX's creditors that they should not be in a big hurry either.