Northwest Biotherapeutics, Inc (OTCMKTS:NWBO) received some negative headlines over the last year. Those slew of headlines sent the stock down over 80% in just one year. More recently, the stock was down over 30% in one day due to a potential dilution in the stock.
Northwest Biotherapeutics is a publicly-traded biotech company primarily focused on the development of personalized immunotherapy products, which are designed to treat cancers more effectively than current treatments. The company aims to use these treatments without toxicities of the kind associated with chemotherapies, and on a cost-effective basis, in both the U.S. and Europe.
Additionally, Northwest Biotherapeutics, Inc (OTCMKTS:NWBO) has a comprehensive platform and technology for DCVax dendritic cell-based vaccines. Northwest Biotherapeutics, Inc’s lead program is a 331-patient Phase III trial in newly diagnosed Glioblastoma multiforme (GBM). GBM is one of the most aggressive and lethal form of brain cancer, and is considered an orphan disease. Moreover, Northwest Biotherapeutics is looking to pursue a Phase I/II trial with DCVax-Direct for all types of inoperable solid tumor cancers. That in mind, the company completed the 40-patient Phase I portion of the trial, and is preparing for the Phase II portion.
Northwest Biotherapeutics recently announced it entered into definitive agreements with some institutional investors for a registered direct offering with gross proceeds of $7.5M. Now, let’s delve into this offering…The company is looking to sell approximately 28.8M shares of its common stock, with a purchase price of 26 cents per share, or pre-funded warrants in lieu of shares.
Additionally, these investors would receive five Class A warrants, which gives them the right to purchase up to approximately 21.6M shares of common stock with an exercise price of 26 cents per share. Moreover, the institutional investors would receive three-month Class B warrants to purchase up to approximately 21.6M shares of common stock with an exercise price of $1 per share. In lieu of the shares, to prevent beneficial ownership of an investor, along with affiliates, of its common stock from exceeding 4.99%, these investors would receive pre-funded Class C warrants, which could be exercised immediately at 26 cents per share, with 25 cents per share pre-funded at the time of closing and another 1 cent per share payable after the exercise of each Class C warrant.
That in mind, according to Yahoo Finance, the company had shares outstanding of 153.41M and a float of 97.1M recently. That said, these definitive agreements could dilute the shares, which may be the catalyst that pushed shares lower recently.
Now, in other company news, Northwest Biotherapeutics recently provided an update for its Phase III trial of DCVax-L for GBM. NWBO announced that the partial clinical trial was lifted by the FDA, and it accumulated a sufficient number of events toward the progression-free survival end point, but it had not reached the sufficient number of events for the overall survival endpoint.
According to the company, “There are 331 patients enrolled in the Trial. The Trial endpoints involve thresholds of 248 “events” for PFS and 233 “events” for OS. PFS events are primarily tumor progression (i.e., recurrence), although they can occasionally be patient deaths which occur without prior evidence of tumor recurrence. OS events are patient deaths. The PFS and OS events are continuing to accumulate as the Trial continues. The PFS events have surpassed the 248-event threshold, but the OS events have not yet reached the 233-event threshold. Based upon the pace of OS events during the last six to eight months, the Company’s current anticipation is that it will be several months until the Trial reaches 233 OS events.”
That said, there was some good and bad news for NWBO recently. The company’s definitive agreements with investors sent shares down over 30% in one day recently. Now, NWBO could move, and you might want to keep an eye on this one as there could be more company developments. You could stay up to date on NWBO by subscribing to our newsletter. It’s 100% free, all you have to do is enter your email below, and we’ll provide you with any breaking developments on NWBO.