The Stars Align for Nuvilex

BALTIMORE, MD--(Marketwired - Jul 24, 2013) - In a newly released research update, Goldman Small Cap Research, a stock market research firm focused on the small cap and microcap sectors, notes in a recent article on its website how biotech firms such as Nuvilex Inc. (OTCQB: NVLX) can successfully reduce their risk profile as they reach pivotal inflection points in their growth and maturation.

It was not too long ago that Nuvilex had what some might view as crippling real estate-related debt from a bad deal executed by prior management. Plus, despite its affiliation with SG Austria, it did not yet own all of the assets and licenses associated with live-cell encapsulation platform technology for pancreatic cancer and all other forms of cancer for that matter. Moreover, the soon-to-be concluded deal at the time included the acquisition of all of the assets of SG Austria which would have resulted in a 22% share dilution and the ownership of non-core businesses that would have bled operating expenses.

Today, the real estate debt looks like it will be settled soon, if it isn't already, all of the oncology-related assets and licenses for the use of the live-cell encapsulation therapy for oncology have been acquired with essentially no dilutive effect, and going forward, operating expenses are held in check since the ownership in SG Austria is 14.5%, instead of 100% of the SG Austria subsidiary, Austrianova Singapore. This step has ensured access to the live cells Nuvilex requires for its trials without the associated overhead of non-core business lines. Plus, when the $1.5M in funds were raised privately to execute the transaction through restricted stock, they were priced at $0.125 with no warrants, earn-outs, milestone payments, or additional debt.

As a result, many market watchers would view the risk inherent in the stock as substantially reduced which in turn may value the stock at a higher price, especially as development progress is measured and reported.

Separately, one of Nuvilex's peers in the pancreatic cancer treatment arena, Merrimack Pharmaceuticals is slated to complete enrollment for its Phase III pancreatic cancer trial with top-line results expected in the next year or so. Any positive news resulting from the trial will likely result in a boost for any stocks in the pancreatic cancer space, as a rising tide lifts all boats -- even in this case where Nuvilex may ultimately likely exceed Merrimack's results, if the success in the first 2 pancreatic cancer clinical trials recur.

Clearly, all of these events and milestones serve to benefit Nuvilex as the stars align for management and shareholders.

To view Nuvilex reports and articles and to view our disclaimer, please visit
www.goldmanresearch.com.

About Goldman Small Cap Research: Led by former Piper Jaffray analyst and mutual fund manager Rob Goldman, Goldman Small Cap Research produces small cap and micro cap stock research reports, daily stock market blogs, and popular investment newsletters. For more information, visit www.goldmanresearch.com.

A Goldman Small Cap Research report is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed. Please read the report's full disclosures and analyst background on our website before investing. Neither Goldman Small Cap Research nor its parent is a registered investment adviser or broker-dealer with FINRA or any other agency. To download our research, view our disclosures, or for more information, visit www.goldmanresearch.com.

About Nuvilex, Inc. (OTCQB: NVLX): Nuvilex, Inc. has been a provider of all-natural products for many years, has expanded its company to increase its natural product based footprint through medical marijuana studies and is becoming an international biotechnology provider of live, therapeutically valuable, encapsulated cells and services for treatments, research and medicine. The Company's offerings will ultimately include cancer, diabetes and other clinical treatments using the company's natural product knowledge, product base, cell and gene therapy expertise, and live-cell encapsulation technology in addition to other new products currently under development. For more information visit: www.nuvilex.com.

Advertisement