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Biotech / Medical : SUNPHARM Pharmaceuticals (SUNP)

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To: Alys Hall who wrote (1)10/17/1997 7:29:00 AM
From: F. Jay Abella, III   of 52
 
Alys:

Nice to see you here. I am glad I don't have to talk to myself about this company. Have you read my report at www.westergaard.com/med/biotech.html? I suggest that you do. You will undoubtedly be impressed by (in no particular order);

1) The management
2) The ownership
3) The float (or lack therof)
4) The products and massive data they have generated
5) The capital structure
6) The present valuation versus my model
7) And, most refreshingly, the low key nature of its presentation.

Their upcoming near-term milestones are:

1) Announce results of small phase II study in AIDS related diarrhea
2) Submit data to FDA as end of Phase II meeting along with a Phase III protocol
3) If possible (and it just may be), initiate Phase III study by 1Q98 or earlier.

The market is anticipating good news on all fronts, witnessing the acceleration of the share price relative to the volume.

I would welcome your thoughts.

FJA
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