Why did PDS Biotechnology (PDSB) stock go up? No company news found

What happened

PDS Biotechnology closed Friday at about $1.38, up roughly 35% from Thursday’s $1.02. About 16 million shares traded.

It was the stock’s second large gain that week. On Monday 5 October it closed up about 60%. On 11 September, before its private placement closed, it closed at about $0.29.

The likely catalyst

We found no company news for 9 October. PDS issued no press release that day, and EDGAR shows no PDS filing between 6 October and the close. Press releases.

The latest release, on 6 October, announced a virtual event on 15 October. A National Cancer Institute investigator will discuss Phase 2 results for PDS0301, an IL-12 immunocytokine, in colorectal cancer that has spread to the liver. It is an event announcement, not new data. 8-K.

The same day, several vaccine developers rose after a report on a planned federal effort to speed up cancer vaccine research. Motley Fool. We found no source linking PDS to that report.

So the record shows a move with no company-specific cause.

Money and dilution check

At 30 June, PDS had $5.6 million of cash and a stockholders’ deficit of $3.6 million. It used $7.2 million in operations in the first half, has no revenue, and said there is substantial doubt about its ability to continue as a going concern. In August it cut about 36% of its workforce. 10-Q, 8-K.

Since then:

• Private placement, closed 14 September. It raised $11.3 million gross. PDS issued 16.5 million shares, pre-funded warrants for 23.5 million shares and one-year common warrants for 20.0 million shares at $0.22. Nant Capital, controlled by Dr. Patrick Soon-Shiong, put in about $10 million, and he joined the board. 8-K.
• Milestone tranche. Nant and AB Group must buy a further $11 million of stock at $0.22 once PDS submits a registrational Phase 3 protocol for PDS0301 to the FDA. That would be about 50 million shares. 8-K.
• Yorkville note repaid. On 14 September, PDS paid about $4.6 million to redeem its 10% note held by YA II PN, Ltd. A Yorkville warrant for 2.16 million shares at $1.1824 remains.
• ATM program. PDS can sell up to $50 million of stock through Yorkville Securities, LLC and B. Riley Securities, Inc. It sold $0.1 million by 30 June. The placement’s lock-up still allows ATM sales. The $50 million is a ceiling, not cash raised, and the prospectus says baby shelf limits apply while public float stays below $75 million. 424B5.

The latest filed share count is 81,856,307 at 14 September, from Nant’s Schedule 13D. The company’s own last figure was 55,971,338 at 6 August. Sales after 30 June won’t be known until the next 10-Q.

At $1.38, the $0.22 warrants and milestone shares are priced far below the market.

PDS also has a Nasdaq bid-price deficiency and has until 26 January 2027 to regain compliance. 8-K. See the delisting process.

How we measured: regular-session close to close, from Alpaca Markets (SIP) daily bars, split-adjusted. Volume is compared with the average of the 30 trading sessions before the move.