NorthWest Biotherapeutics Inc (NWBO)

[beachlifeisfun]

IMO whoever added the 2.3 million short interest did so at a price that was mostly above the average strike price of the 2.3 million puts. It's a straddle of sorts...this one really could have been Woodford...in an attempt to cap the downward momentum of the stock price upon put options execution and without further increasing his overall position...and potentially still making some money...

It goes like this:
Puts execute flooding the market with shares and driving the SP price down...2.3 million shorts cover to stabilize the stock price as it falls...preventing panic that a free-falling stock price causes and without costing as much as open buying of the actual stock.

This presumes that whoever sold the 2.3 million shares short was concerned that the puts would actually execute and flood the market...as many others that are short would try to do. This is the big-boys battleground...

Thoughts on this hypothesis?

If correct, then this does not bode well for the out-of-money October call options...it means that NWBO will not have a substantial positive PR between now and next Friday...