I think this is part of the reason for the term loan too and perhaps why we hadn’t gone to NASDAQ. It would take a long time to replace Lannett if they decide to go solo with Adderall IR & ER and get revs where they are today. If Lannett pulls the plug…well he better be looking hard right now for a Plan B. Going solo is not the answer yet.
I suspect those conversations have taken place, based on the two recent developments: 1) Addition of Sabril to the marketing agreement, and 2) Lannett moving Adderall ER to the discontinued list.
It didn't benefit Lannett very much to put the ANDA on the discontinued list. They can still activate the ANDA when they choose, but they will have to go through a substantial, costly, time-consuming process which is not much different than getting the approval in the first place. They would need to redo all the API certifications and commercial batches and then get a re-approval from FDA. They would not have discontinued it if they had any intention of commercializing it any time in the near future (several years for sure). I believe moving Adderall ER to the discontinued list was a small but significant show of commitment to ELTP, and likewise, Nasrat adding Sabril to the agreement is a show of his confidence in the stability of the Lannett deal.