NorthWest Biotherapeutics Inc (NWBO)

[Gus McCrae]

Because as soon as they are released there's going to be 50 million shares for sale.

Why does that matter? What good does it do to temporarily keep the holders from exercising warrants and selling the shares? These warrants are in the money so they are accounted for by sophisticated investors who are trying to value the company.

I can only think of two good reasons for the company to be trying to engineer a multi-week period where "friendly" shareholders can't exercise and put short-term pressure on the stock price.

1. The company plans to do a substantial offering.

This doesn't make a lot of sense...why would warrant holders agree to suspend just so their positions can get further diluted. But, I guess if they are really "friendly," and they know the company needs to raise money, maybe some of them would agree?

2. The company plans to sell itself.

This scenario would be unprecedented, but it makes a lot of sense (to me). Let the stock price come up to $4 or $5 (or $10+, whatever), then BP offers a 100% premium. The highest premium on record for a public company is 500%, and I can guaranty that BP is not going to offer $15 per share for a stock that's trading at $1.38, no matter what BP believes the value of NWBO actually is.

I've never heard of a company doing anything like this, but NWBO is...let's just say, "unique," in lots of other ways, so who knows.