2.	Liquidity and management’s plans:

At June 30, 2017, the Company had cash of approximately $27.5 million. The Company used $4.5 million of cash during the six months ended June 30, 2017 and had stockholders’ equity of $26.3 million, versus stockholders’ deficit of $17.7 million at December 31, 2016. The Company expects that it has sufficient cash to manage the business as currently planned into the second half of 2018. This estimation assumes that the Company does not accelerate the development of existing, or acquire other drug development opportunities or otherwise face unexpected events, costs or contingencies, any of which could affect the Company’s cash requirements.

Additional capital will be required to support the commercialization of the Company’s reacquired BELBUCA^® product, ongoing commercialization activities for BUNAVAIL^®, the reformulation project for and the anticipated commercial relaunch of ONSOLIS^® (which is out-licensed to Collegium Pharmaceutical, Inc. (“Collegium”) in the US), the continued development of Buprenorphine Depot Injection or other products which may be acquired or licensed by the Company, and for general working capital requirements. Based on product development timelines and agreements with the Company’s development partners, the ability to scale up or reduce personnel and associated costs are factors considered throughout the product development life cycle. Available resources may be consumed more rapidly than currently anticipated, potentially resulting in the need for additional funding. Additional funding, capital or loans (including, without limitation, milestone or other payments from commercialization agreements) may be unavailable on favorable terms, if at all.