Northwest Biotherapeutics (DI) Announcements

RNS Number : 6887B Northwest Biotherapeutics Inc 20 August 2008  
 
 
 
Immediate Release
20 August 2008
 
Northwest Biotherapeutics, Inc.
("NWBT", "Northwest", or the "Company")
 
 
 
Northwest Secures US$1.0 million Debt FinancingandAnnounces Financial Results for the Second Quarter Period Ended 30 June 2008
 
BETHESDA, MD - 19 August 2008 - Northwest Biotherapeutics, Inc. (AIM:NWBS and NWBT; OTC BB: NWBO), today announced that Toucan Partners LLC ("Toucan Partners") has entered into an agreement to provide NWBT with debt financing in the amount of US$1.0 million (the "Loan"). In addition, the Company today announced its results for the second quarter period ended 30 June 2008.
 
Toucan Partners Loan
 
Under the terms of the Loan, Northwest will receive US$1.0 million in return for an unsecured promissory note in the principal amount of US$1,060,000 (reflecting an original issue discount of six percent, or US$60,000). The loan has a term of six months. Toucan Partners may elect to have the original issue discount amount paid at maturity in common stock of NWBT, at a price per share equal to the average closing price of NWBT's common stock on the NASD Over The Counter Bulletin Board over the ten trading days prior to 19 August 2008, being the date of the execution of the loan agreement.
 
The Directors of the Company consider, having consulted with the Company's Nominated Adviser, Collins Stewart Europe Limited, that the terms of the Loan are fair and reasonable in the circumstances insofar as the Company's shareholders are concerned. In giving its advice to the Directors, Collins Stewart Europe Limited relied on their commercial assessment.  
 
Financial Results for the Second Quarter Period Ended 30 June 2008
 
The Company today announced its results for the second quarter period ended 30 June 2008 as set forth below and in the attached Form 10-Q as filed with the SEC on 19 August 2008.  A link to this document is at: [insert link]
 
As disclosed in its Form 10-Q, as of 19 August 2008, the Company had approximately $1.1 million of cash on hand, including the Loan. The Company estimates that its available cash is sufficient to support its day to day operations through to the end of September 2008. It therefore needs to raise significant additional capital to fund its clinical trials and other operating activities and to repay indebtedness.  The Company is in late stage discussions with several parties in regard to additional financing transactions, which it hopes to complete by the end of the year. Shareholders should be aware that if the Company's capital raising efforts are unsuccessful, this will have a material adverse effect on the Company financial position and operations.  
 
Alton L. Boynton, Chief Executive Officer of NWBT said: 
 
"We are delighted to have secured this loan from Toucan Partners. Since becoming involved with Northwest in 2004 Toucan have consistently provided financial support when it was most needed. This loan will enable us to continue moving our programs forward while we attempt to conclude discussions with several parties concerning substantial long term funding. We appreciate their continuing support."
 
About NWBT
 
Northwest Biotherapeutics is a biotechnology company focused on developing immunotherapy products that treat cancers more effectively than current treatments, with limited toxicity, on a cost-effective basis. The Company has two broad platform technologies: dendritic cell-based vaccines, and therapeutic antibodies. The Company is currently conducting a large clinical trial in Glioblastoma multiforme, which is designed and powered to serve as a pivotal trial. The Company has also received clearance from the FDA for a large Phase III trial in prostate cancer, and clearance from the FDA for Phase I trials in five other cancers. The Company has started, and is currently enrolling patients in, a Phase I/II trial with DCVax® for recurrent ovarian cancer. The Company also has a second technology platform, involving monoclonal antibodies to CXCR4, which is at the late pre-clinical development stage.
 
For further information, please visit the company web site at www.nwbio.com.
 
DisclaimerStatements made in this news release that are not historical facts, including statements concerning the Company's plans to move its programs forward, statements regarding the Company's clinical trials and other business development activities, and statements regarding its fundraising activities, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "expects," "believes," "intends," and similar expressions are intended to identify forward-looking statements. Actual results may differ materially from those projected in any forward-looking statement. Specifically, there are a number of important factors that could cause actual results to differ materially from those anticipated, such as risks and uncertainties regarding the Company's ability to secure additional financing or raise additional capital, risks related to the Company's ability to enroll patients in its clinical trials and complete the trials on a timely basis, the uncertainty of the clinical trials process, uncertainties about the timely performance of third parties, and whether the Company's products will demonstrate safety and efficacy. Additional information on these and other factors, which could affect the Company's results, is included in its Securities and Exchange Commission ("SEC") filings, including in the Risk Factors section of the Company's Annual Report on Form 10-K for the year ended December 31, 2007 and in its recently filed Form S-1. Finally, there may be other factors not mentioned above or included in the Company's SEC filings or recently filed Form S-1 that may cause actual results to differ materially from those projected in any forward-looking statement. You should not place undue reliance on any forward-looking statements. The Company assumes no obligation to update any forward-looking statements as a result of new information, future events or developments, except as required by securities laws. 
 
For further information, please contact:
 
Northwest Biotherapeutics, Inc.
 
Alton L. Boynton, Chief Executive Officer
+1 240-497-9024
 
 
Buchanan Communications
 
Lisa Baderoon (lisab@buchanan.uk.com) / Mary-Jane Johnson / Catherine Breen 
+44 (0)20 7466 5000
 
 
Collins Stewart Europe Limited
 
Adrian Hadden / Adam Cowen
+44 (0)20 7523 8350
 
 
 
 
 
 
                                                             NORTHWEST BIOTHERAPEUTICS, INC
                                                                                        (A Development Stage Company)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Condensed Consolidated Statement of Operations
(in thousands, except for per share data)
(Unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months ended
 
Six Months ended
 
 
 
 
June 30
 
June 30
 
 
 
2007
 
2008
 
2007
 
2008
Operating expenses
 
 
 
 
 
 
 
 
 
 
 
 
 
Research and development
 
$
2,158 
 
 $ 
  3,143 
 
 $ 
  3,469 
 
 $ 
  6,205 
 
General and administrative
 
 
  1,451 
 
 
  2,855 
 
 
  1,962 
 
 
  5,480 
 
Total operating expenses
 
 
  3,609 
 
 
  5,998 
 
 
  5,431 
 
 
  11,685 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Loss from operations
 
 
  (3,609)
 
 
  (5,998)
 
 
  (5,431)
 
 
  (11,685)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other income (expense)
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense
 
 
  (4,733)
 
 
  (69)
 
 
  (4,864)
 
 
  (81)
 
Interest income
 
 
  387 
 
 
  17 
 
 
  388 
 
 
  91 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income (loss)
 
 
  (7,955)
 
 
  (6,050)
 
 
  (9,907)
 
 
  (11,675)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Issuance of common stock in connection with elimination of preferred stock dividends 
 
 
  (12,349)
 
 
 - 
 
 
  (12,349)
 
 
 - 
Modification of preferred stock warrants
 
 
  (18,699)
 
 
 - 
 
 
  (18,699)
 
 
 - 
Preferred stock dividends
 
 
  (1,251)
 
 
 - 
 
 
  (1,251)
 
 
 - 
Warrants issued on preferred stock dividends
 
 
  (4,664)
 
 
 - 
 
 
  (4,664)
 
 
 - 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income (loss) loss applicable to commpn stockholders
 
$
  (44,918)
 
 $ 
  (6,050)
 
 $ 
  (46,870)
 
 $ 
  (11,675)
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income (loss) per common share - basic and diluted
 
$
  (5.56)
 
 $ 
  (0.14)
 
 $ 
  (7.53)
 
 $ 
  (0.28)
Weighted average shares outstanding - basic and diluted
 
 
  8,074 
 
 
  42,376 
 
 
  6,222 
 
 
  42,361 
 
 
 
 
 
   
 
 
 
 
NORTHWEST BIOTHERAPEUTICS, INC
(A Development Stage Company)
 
 
 
 
 
 
 
Condensed Consolidated Balance Sheet
(in thousands, except for per share data)
 
 
 
 
 
 
 
 
 
 
30 June
 
31 December
 
 
2008
 
2007
Current assets
 
 
 
 
 
 
Cash and short term investments
$
1,205 
 
$
7,861 
 
Prepaid and other current assets
 
1,624 
 
 
823 
Total current assets
 
2,829 
 
 
8,684 
 
 
 
 
 
 
 
 
Property and equipment, net
 
237 
 
 
19 
 
Deposit and other non-current assets
 
3 
 
 
3 
Total other assets
 
240 
 
 
22 
 
 
 
 
 
 
 
Total assets
$
3,069 
 
$
8,706 
 
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
Accounts payable
 
1,357 
 
 
1,007 
 
Accrued expenses
 
1,108 
 
 
1,892 
 
Note payable
 
4,069 
 
 
 
Total current liabilities
 
6,534 
 
 
2,899 
 
 
 
 
 
 
 
Long term liabilities
 
-
 
 
-
 
 
 
 
 
 
 
Total liabilities
 
6,534 
 
 
2,899 
 
 
 
 
 
 
 
Stockholders' equity/(deficit)
 
 
 
 
 
 
Common stock
 
42
 
 
42
 
Additional paid-in capital
 
150,503 
 
 
148,064
 
Accumulated deficit
 
(154,010)
 
 
(142,299)
Total stockholders' equity / (deficit)
 
(3,465)
 
 
5,807 
 
 
 
 
 
 
 
Total liabilities and stockholders' equity / (deficit)
$
3,069 
 
$
8,706 
 
 
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This information is provided by RNSThe company news service from the London Stock Exchange  END  IR PUUMGRUPRUAU