Gunner this should help you. Key: GAAP Financials are "historical" book basis. Thus, assets are based on historical purchase price values AND Liabilities are at CURRENT value. As a result:
On the Financial's, please point out where the assets include the current value of Belinostat and Apaziquone up for FDA filing for approval this year as well as Renazorb, the two SP's in Phase 2 which are home run balls together with the rest of the pipeline.
Zero value. The financials are book basis. Your analyis is ridiculous. The "bargain" line of credit to acquire Folotyn can be paid back in 1 year from Folotyn alone.
And, that is why SPPI will be acquired for $2 to $5 Billion. The financial asset values are "historical" book basis only even though the liabilities are reflected at current value.
Very good summary Joe. To add to that, GAAP requires R&D to be expensed. The theory behind this is that there is no way to determine the outcome of the R&D, so everyone is on the same page if it is expensed.
Patent and trademark costs are accounted for differently under GAAP.