UK-based C.F. Woodford Equity Income Fund is financing the company for $25 million, with a $10 million mortgage on Northwest Bio’s recently established UK facility. The equity investment bought Woodford a total of 4,317,790 unregistered shares of Northwest Bio’s common stock, which came in at $5.79 per share. The company has agreed to registering the shares over the next couple of months.
“We are excited to have the UK’s leading biotech investor come on board with NW Bio,” Linda Powers, Chief Executive Officer of Northwest Biotherapeutics said in a press release. “Neil Woodford has built an unparalleled investment track record focusing on compelling long-term investment opportunities, particularly in undervalued biotech and pharma assets. His current fund, C.F. Woodford Equity Income Fund, which was established in May and launched in June of this year, manages about $5.25 billion.”
Northwest Bio will be using the capital to advance and accelerate an ongoing Phase III DCVax-L clinical research for glioblastoma (GBM), a rare but deadly type of brain cancer; a series of DCVax-Direct Phase II trials; as well as early access programs.
Northwest Bio is already working on adding more trial sites for DCVax-L, a dendritic cell-based vaccine, as it progresses towards complete enrolment. Upon conclusion of the trials, the sites will be used for the company’s early access programs, and preparation for commercialization.
Powers added that the company is optimistic DCVax-L will address the many unmet needs of patients with GBM brain cancer, as the drug has shown great potential in improving survival, and is independent of tumor and patient characteristics, making it broad-acting and suitable for more patients, unlike other pipeline GBM treatments. Powers believes a “cure all” product for GBM tumors can reshape patient care standards.
The $10 million mortgage goes to Northwest Bio’s recently acquired UK facility, in preparation for its expansion into the European Union, and additional manufacturing capacity for the territory. The UK mortgage is based on interest-only payments until maturity, over two years.