NorthWest Biotherapeutics Inc (NWBO)

[sentiment_stocks]

Had to check and you are correct (this time) about those additional options.

I missed adding in the 39.2mm options that were listed on the 2020 proxy, because they were NOT footnoted on the 2021 proxy. They are, however, noted (on page 16) in the chart contained in the same proxy.

I had actually noted them in the original post (cited below and marked “HERE”) when I quoted the 2020 proxy under the Warrants section… but then didn’t add them to the 55 million options from 2020 that I’d aggregated.

It appears that those 39mm 2018 options are all now vested, but I believe that they are also blocked.

On May 28, 2018, we granted 39,200,000 stock options to Ms. Powers. The options are exercisable at a price of??$0.23 per share, and have a 10-year exercise period. 50% of the options vested on the grant date, and 50% have been vesting over a 24-month period in equal monthly installments, provided that the recipient continues to be employed by the Company, subject to acceleration upon the occurrence of certain achievement milestones. During the year ended December 31, 2018, a performance milestone was achieved and the Company accelerated vesting on 9,800,000 of the stock options granted to Ms. Powers. The remaining unvested portions of the options are subject to accelerated vesting upon (i) a change of effective control of the Company, (ii) the filing of the first Biologics License Application or other application for product approval in any jurisdiction, (iii) completion of any randomized clinical trial that meets its endpoint(s) (Phase II or Phase III), (iv) a decision by the Board, in its discretion or (v) the death of the recipient.

So picking up from my previous post (linked HERE), LP's options are:

Linda’s options based on the 2021 proxy (from pages 15 to 17):
LP: July 2, 2020 - granted 10,770,429 options - $0.35 ($3.8 million to exercise)
LP: July 2, 2020 - granted 32,558,724 options - for 2018, 19, 20, and subject to certain vesting requirements - $0.35 per share (11.3 million to exercise)
LP: September 2, 2020 - granted 11,789,879 options - $0.55 per share ($6.5 million to exercise)
PLUS
LP: May 28, 2018 - granted 39,200,000 options - $0.23 per share ($9.0 million to exercise)

= 55,119,032 options PLUS 39,200,000 = 94,319,032
$21.6 million to exercise PLUS $9 million = $30.6 to exercise

By the way, if the company is sold, I believe that she would be paid whatever the common shares are sold for minus that $30.6 million price to exercise these options.

So to arrive at LP’s total percentage of ownership:
94.3mm options
39mm warrants
29.4mm shares (based on the 2021 proxy) - Note: I had $34m shares listed in the earlier post, due to subtracting out the options and warrants from the 107m shares shown in the 2020 proxy, but since the 2021 proxy states it as 29.4, I'm changing it to that.

= 162.7 total shares, options, warrants / the number of outstanding shares out there.

Really, though, we shouldn’t count all those blocked options and warrants at this time because the only way she can access them is to raise the authorized share count, and pay $30m to exercise them.

And when you raise the authorized share count (it's probably closer to 1.4 billion to include all of those blocked options and warrants), her ownership percentage drops to around 11.6% (162.7mm / 1.4b), and not the 20% this grow guy is claiming.

As it stands now, her actual ownership, and voting power, is still just 3.5% of the company (34mm/960mm).

As an aside...

Looking at other biotech CEOs receiving high payouts, the Kite Pharma CEO Arie Belldegrun made $610 million when Kite Pharma was sold to Gilead.
https://www.fiercepharma.com/pharma/kite-chief-arie-belldegrun-up-for-600m-plus-payday-from-gilead-buyout

Longtime Kite Pharma investors are set for a big gain with Gilead Sciences’ $180-per-share buyout—and founder-CEO Arie Belldegrun will reap a fair share of that windfall.

About $610 million, in fact, according to the company’s April 2017 proxy statement and the latest math on the shares he owns in one way or another—multiplied, of course, by that $180-per-share sale price.

But far more significant—obviously—will be Belldegrun’s payoff from the shares he already owns. Through his consulting firm Bioeast, investment firm Bellco Capital, a partnership dubbed MDRB, a family trust and a profit-sharing plan he controls, Belldegrun beneficially owns 3.32 million Kite shares. That’s 5.9% of the company.

Those shares, handed over to Gilead in its $11.9 billion takeover, are worth $598 million, thanks to the $180-per-share price. Almost 120,000 of the reported shares are options Belldegrun had the right to buy within 60 days of April 17 of this year. And some 1.5 million of them he garnered in a signing bonus when he permanently took on the president and CEO job in addition to his then-current chairman's role.

And when Kite Pharma was sold in 2017 for $11.9 billion, their approx. revenue was just $22.2 million.
https://www.zippia.com/kite-pharma-careers-6542/revenue/
Of course, this huge payday for Kite (and Ari Belldegrun) was likely due to the anticipation of future revenues.

Does anyone keep track of how Kite's revenue is going these days?