There is no such thing as a franchise in the biotech business model—legally or economically. The new UK law is not about franchising any medicine. A franchise model has a very specific meaning, yet people discussing NWBO use the term loosely, without definition. In most cases, what they’re actually describing is a licensing model.
I’m not an advocate of using the term “franchise,” so you’d have to ask those who do. A few people have some very speculative ideas about how DCVax-L will be produced, based on earlier unfounded claims that have become central to their views. These kinds of statements make the discussion appear less credible and can reflect poorly on the company, especially to casual observers who might assume NWBO itself has made such claims. When they see that the stock trades OTC, it only adds to the impression of unreliability.
The model being described is well-established and credible—it’s a licensing model. It allows the company to negotiate terms with larger firms, but those agreements govern everything and can be tricky. Small companies sometimes give up too many rights for a one-time fee and end up losing long-term value.
Given that the company has acquired Advent, I expect NWBO intends to maintain as much control over production as possible. As for these licensing theories, particularly for drug combinations, those would depend on interest from larger companies—something no one here can predict. It’s worth exploring, but it’s not a given. If other drugs lose patent protection, NWBO’s combination patents could allow it to take the lead without involving big pharma, potentially incorporating generic drugs into its own offerings on favorable terms.
In the meantime, the company will need capital to expand, which could involve some collaboration with larger firms. That may influence its long-term strategy, so it must be managed carefully. This is likely one reason NWBO seeks approval before entering those discussions—approval strengthens its negotiating position significantly.
I am very optimistic, but the throwing around the term, “franchise” here and on other social media is without basis and makes the company sound silly and discredits those posting such messages, though they apparently do not know it and all echo one another and amplify the same message. The company has never publicly said the word as far as I have seen, and I have been here a while now. It’s not a term used in biotech and DCVax-L isn’t uniquely different to make “franchising” a thing.
I own NWBO. My posts on iHub are always posted expressly as just my humble opinion (IMHO) and none are advice, just my opinion. I am NOT a financial advisor, and it is assumed that everyone is responsible for their own due diligence.
