NorthWest Biotherapeutics Inc (NWBO)

[Chiugray]

Pgsd, On pricing, here’s a strategy thought on how NWBO can use pricing (and price elasticity) to negotiate labeling discussions on DCVax-L approval. Idea is, not to extract max price, but to leverage the DCVax platform’s advantages to obtain the more important, broader market access.

A strawman scenario on what could be happening between NWBO, MHRA, NICE:

Initial discussions
- Approval: DCVax-L for nGBM + rGBM
- Labeling: DCVax-L used in combination with TMZ and radiation
- Pricing (NHS reimbursement): $300K for 3 years of dosing (manual systems) or $200K (Flaskworks), except that too is “expensive” (3-yr treatment paid upfront)
- DCVax-L used as monotherapy would be considered off-label: means zero reimbursement (not good for patients, example: unmethylated patients don’t benefit from chemo, chemo adds cost to treat side-effects).

Strategic win-win proposal
- NWBO offers:
- Pay-per-dose model: $60K (mfg, 4 doses), $15K each subsequent dose (6 doses/boosters, for 3 yrs), totals $150K
-
- MHRA/NICE grants:
- Approval for nGBM and RGBM indications,
- Conditional approval for use as a monotherapy
- Conditional approval for metastatic brain tumors
- Conditional approval for poly-ICLC as adjuvant

Big picture
- Expanding “GBM only” to “All brain metastases” at min. effectively triples (3X) the addressable market size
- Pay-per-dose is a win for UK’s budget constraints and cash-flow needs (spread pymts)
- Conditional approvals are a win for oncologists and patient’s access

Big picture
- All governments are under budget constraints (UK too)
- All oncologists want efficacy, non-toxic, and immune memory for their patients, and patients too (the DCVax profile)
- NWBO has a unique ability to deliver a manufacture, personalized medicine at scale and at low cost (Flaskworks automation).

IMHO, this is how a small player would disrupt an established oncology market.