NorthWest Biotherapeutics Inc (NWBO)

[Sharkee2]

Theory for why price has not risen post publication:

- The pps or formula based market cap have not risen, but this is deceptive. Actual expected value of the company has doubled, but the increase in the probability of all the warrants (equivalent to 100% increase in outstanding shares) being converted have now made the pps relatively static.

Before publication, the efficacy risk was a big risk and the expected market cap was based on the outstanding shares only i.e. total expected market cap = function (total outstanding shares (~450M), pps, risk factors).

After publication, the efficacy questions have more or less been resolved. There is certainly a very reasonable chance of success. The market cap now becomes a function of not only the total outstanding shares but also all the warrants that would be exercised in the future i.e.total expected market cap = function (total outstanding shares (~450M) + total warrants + convertibles (~450M - 650M), pps, risk).

Although there is no visible increase in market cap because the formula for calculating it remains constant, market cap = total outstanding shares * pps, the total value of the company has risen in the eyes of everyone thereby keeping the pps almost the same as before inspite of the potential doubling of the stocks.