The Northwest Biotherapeutics, Inc (NASDAQ:NWBO) stock plunged 15.92% yesterday to $0.43 after a media report revealed that a disgruntled analyst complained of victimization at the hands of senior colleagues, due to his alleged improper relationship with Northwest.
A total of 2.84 million shares of Northwest changed hands yesterday. Northwest is a clinical stage biotechnology company focused on the development of personalized cancer vaccines designed to treat a broad range of solid tumor cancers.
Analyst denies allegations of impropriety around Northwest Biotherapeutics, Inc (NASDAQ:NWBO)
According to a Bloomberg report, Navid Malik, a former analyst employed at Cenkos Securities Plc, has gone to court accusing Cenkos of forcing him to leave based on a research report that alleged Northwest Biotherapeutics Inc. transferred $5 million of securities to a vehicle incorporated by Malik soon after he published a bullish report on the company.
The research report was issued in October 2015 by an outfit called Phase Five Research.
Malik denied the allegations in the report and further claimed that he suffered years of bullying, harassment and racism at the hands of senior colleagues at Cenkos.
Northwest did not respond to Bloomberg when asked to clarify.
Northwest Biotherapeutics, Inc (NASDAQ:NWBO): Phase Five Research Again
Earlier, in June, analyst Larry Smith, alleged that Northwest was the target of a ‘wolfpack’of hedge funds intent on driving the price of Northwest into the ground.
Smith describes the action as a short selling attack on Northwest.
“”The screening halt on the phase 3 trial of DCVax-L that occurred last August was devastating as the stock declined from a high of $11.10 to $0.65 in the aftermath,” Smith went on to say. “It is more than interesting that a particularly, unbalanced report appeared on Seeking Alpha a few weeks after the screening halt. The report was written by an anonymous short seller group that called themselves Phase Five Research.”
Two unhappy analysts, both citing Phase Five Research?
Curious goings-on, indeed.