Northwest Biotherapeutics enters $5.5 million loan agreement with Streeterville Capital

Northwest Biotherapeutics, Inc. (OTCQB:NWBO) announced it has entered into a commercial loan agreement with Streeterville Capital, LLC for $5,505,000, according to a press release statement filed with the Securities and Exchange Commission. The biotech company, currently valued at approximately $366 million with a share price of $0.24, appears to be seeking additional liquidity amid challenging financial conditions.

The agreement, signed Monday, has a maturity term of 22 months. No repayments are required for the first eight months, with repayments set to begin June 26, 2026. After that date, the loan will be amortized in 14 equal monthly installments of principal at 110% of the pro rata amount, plus accrued interest. This financing comes as InvestingPro data shows the company’s current ratio stands at just 0.07, indicating short-term obligations significantly exceed liquid assets.

The loan carries an annual interest rate of 8%. It also includes a 10% original issue discount. Northwest Biotherapeutics may choose to pre-pay the loan at any time, subject to a 10% pre-payment charge. The agreement contains standard default provisions, which may result in acceleration of repayment in certain circumstances.

The company stated that the funds will be used for ongoing business operations.

This information is based on a press release statement included in the company’s recent SEC filing.

In other recent news, Northwest Biotherapeutics has completed its acquisition of Advent BioServices, making Advent a wholly owned subsidiary. This transaction includes the transfer of all of Advent’s fixed assets and intellectual property to Northwest Biotherapeutics. Additionally, Northwest Biotherapeutics has filed a new Form S-3 shelf registration statement to replace its existing registration, which is set to expire in October 2025. This move ensures the company maintains an ongoing effective registration.

In another development, Northwest Biotherapeutics has settled litigation concerning option awards granted in 2020. As part of the settlement, 17% of the disputed option grants will be canceled, and the company’s insurance carriers will pay $2.25 million. These recent developments highlight significant strategic and legal activities for Northwest Biotherapeutics.

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