In general, I agree with the thoughts of your post but differ in numbers. The number I disagree with the most is the ratio of 2 times sales.

If NPCT was able to realize $40 million in sales (revenue) from the JV, these would be close to profit. The expenses would be relatively small to the $40 million revenue. This would then use the ratio of P/E. A P/E ratio of 20 is conservative and in some emerging companies can be in the hundreds.

So, using your basic numbers 2 times sales resulting in a 25 cent pre-reverse-split share price with a 1:20 reverse split, I would apply a P/E of a conservative 20 which would result in a pre-reverse-split share price of $2.50 per share (your 2 times sales is a P/E of 2 multiplied by 10 for 20 P/E).

Frankly, with the potentiality of BioAgra, I conjecture seeing such numbers in fiscal 2007 to fiscal 2008. And I !!stress!! once NPCT/BioAgra are established in the investment community as a growing/emerging company, the 20 P/E is conservative. And by ``established in the investment community`` I mean NOT the majority of current holders of NPCT of which a number reside on Agoracom.

Kent