Northwest Biotherapeutics Inc (NASDAQ:NWBO) Shares Tumble on Company’s 8K Warrant Exercise

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Northwest Biotherapeutics Inc (NASDAQ:NWBO) shares were down 1.86% to $0.332 on Wednesday and flat in after-hours trading. The company has a market cap of $31.35 million at 113.74 million shares outstanding. Share prices have been trading in a 52-week range of $0.32 to $8.59.

Northwest Biotherapeutics is a biotechnology company that is focused on developing immunotherapy products to treat cancer. One of its product lines DCVax-L is designed to cover all solid tumor cancers in which the tumors can be surgically removed while another product line DCVax-Direct is designed for all solid tumor cancers.

Clinical trials for its lead candidate DCVax-L is in its phase II trials but enrollment for new patients was stopped in August last year, although current patients were allowed to carry on with receiving dosages. Northwest Biotherapeutics has been unable to provide more details on what happened and when new enrollments can resume, causing the stock to decline steadily on negative speculations.

Earlier this week, the company filed an 8K for its warrant exercise and a warrant issue to raise gross proceeds to $1.2 million. Northwest Biotherapeutics offered an exercise price of $0.35 per share for warrants to purchase up to 3,656,817 shares of common stock with original exercise prices of $4.50 to 6.00.

These proceeds are expected to fund the phase II clinical trials and add to working capital. Aside from that, the company issued new five-year Series E Warrants to the same warrant holders to purchase up to 3,656,817 shares of common stock at $0.41 per share.

Last month, the company entered agreements with two institutional investors for a registered direct offering with gross proceeds of $3.7 million, signaling that it may be encountering a bit of financial trouble. This recent 8K filing confirms that the proceeds were not enough to shore up operations for Northwest Biotherapeutics, keeping investors wary about holding on to their positions.

 

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