Last January, I explained why a Phase 3 clinical trial involving an immunotherapy for head and neck cancer owned by the tiny biotech Cel-Sci (CVM) was doomed to deliver a negative outcome. Since then, Cel-Sci shares have soared threefold. The $3 stock now trades above $9.
Was I wrong? Not at all. The Cel-Sci immunotherapy in question, called Multikine, is still destined to fail. (In fact, it already has.) My only error last January was not appreciating the extent to which Cel-Sci was willing to issue a steady flow of misleading and erroneous information about the Multikine Phase 3 clinical trial.
So far, this ploy is working. Cel-Sci has raised millions of dollars before the inevitable Multikine implosion. All that extra money will fund executives’ salaries for many more years, even with a decimated stock price. Left in financial ruin will be the retail investors and traders who bought into the disinformation campaign but weren’t smart or fast enough to get out before the crash.
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