Nuvilex Remains Under Fire While Investors Hold

Investors Should Consider the Facts and Possible Agenda


SAN DIEGO, CA--(Marketwired - Aug 27, 2013) - The OTC Journal, the longest running electronic newsletter focused on the small cap and microcap sectors, suggests investors consider the agenda when reviewing the second Seeking Alpha article published on Nuvilex, Inc. (OTCQB: NVLX) in less than two weeks.

OTC Journal Publisher, Larry Isen, says, "This morning, just after the market opened, Seeking Alpha allowed the publication of another article under Nuvilex's ticker that calls into question the value of the company.

Author Alan Brochstein states Nuvilex should be sold by investors based on his conclusion the company has many of the characteristics displayed in FINRA's investor warning last week concerning the heavily traded Marijuana microcap sector.

In today's rather transparent attack, Brochstein also points out the company has funded some sponsored research from the OTC Journal, Goldman Research, and Stockhouse Research.

I suggest investors simply take a step back from all this noise and innuendo from both sides, take a look at the facts, and come to their own conclusion.

One wonders why commentary on the Phase I/II clinical trial of their live-cell encapsulation technology used as part of the therapy on 14 terminally ill Pancreatic Cancer patients conducted by SG Austria at the Rostock Medical University in Germany is completely absent in Mr. Brochstein's harsh review.

I suggest interested parties review Nuvilex's own description of this technology by visiting the Company's website and forming their own opinion. The description can be found at: http://www.nuvilex.com/pancreatic-cancer

Here are the facts:

Nuvilex has acquired exclusive, global rights to develop cancer treatment therapies that are based on a unique live-cell encapsulation technology that helps cancer drugs to be far more efficient and less toxic. Nuvilex is preparing to get into Phase III trials for a Pancreatic Cancer therapy, and is planning its course to get there. This is a long-term process.

A Phase I/II trial conducted by SG Austria at the Rostock Medical University in Germany on 14 patients with advanced, inoperable pancreatic cancer produced remarkable results.

In that trial, cells capable of converting the well-known anticancer drug ifosfamide into its cancer-killing form were encapsulated using Nuvilex's live-cell encapsulation technology. Then, approximately 300 of the microcapsules were implanted in the blood supply near the pancreas and therefore the tumor itself. Following this, one-third of the normal dosage of ifosfamide was administered.

Historical data for Eli Lilly's Gemzar® (generic is Élan's Gemcitabine IV), at the time of the writing of the study report, with the same type of patients, gave a median survival of 28 weeks with a one-year survival rate of 18%. Gemzar® is the only drug approved by the FDA to date as a single agent for the treatment of advanced, inoperable pancreatic cancer.

The patients given Nuvilex's treatment had a median survival of 44 weeks, and 36% survived for one year. With one-third the dosage of chemotherapy coupled with the use of the live-cell encapsulation technology, the effectiveness of the treatment was double that of Gemzar®. Furthermore, while serious toxicities (side effects) are associated with the use of Gemzar®, no serious drug-related toxicities were seen with the live-cell encapsulation/ifosfamide combination in the Phase I/II trial.

The global rights to develop and market the encapsulation technology for cancer therapies of any kind are the asset of Nuvilex.

It is these factual clinical results that have captured the imagination of the risk-oriented investors.

Mr. Brochstein cannot opine on the potential of the value of Nuvilex's live-cell encapsulation technology because quite simply neither he nor I can prove or disprove its value at present, and therefore, he simply leaves it out of his review.

As editor and publisher of the OTC Journal, I have consistently stated the long-term future of Nuvilex is predicated first on designing, funding, and getting into a Phase III trial, and then generating clinical results the market can value positively or negatively.

Nuvilex recently acquired the rights to develop this technology, and is just getting started on the process.

One wonders why this stock has suddenly become such a target of negative commentary. Of late, it has traded between $.13 and $.16 averaging 1.5 to 2 million shares each day.

The only possible explanation I can imagine for all this attention is a rather transparent effort by short sellers to scare investors into selling their shares and pushing the price down. Despite a statement concerning the reported short interest in today's Seeking Alpha article, anyone with any knowledge of the microcap sector knows Market Makers can go naked short a virtual infinite number of shares without having to report their short interest in any publicly available forum.

In my view, if the negative articles persist with little factual basis concerning the live-cell encapsulation-based treatment for Pancreatic Cancer, investors can surmise short sellers are getting more desperate to scare investors out of this interesting speculative situation."

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About The OTC Journal: The OTC Journal is the longest running electronic newsletter committed to small and microcap stocks. Published continuously since 1998, the OTC Journal provides readers with short term trading ideas, long term ongoing coverage of worthy small and microcap companies, and overall market commentary.

The OTC Journal is also an investor relations firm that publishes a newsletter that provides a forum for issuers who wish to advertise their company. To read our publication, including information regarding our compensation, visit www.otcjournal.com. For ongoing updates an opinionated content on Nuvilex and many other small and micro cap stocks, visit www.otcjournal.com and input your email address.

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.

Contact Information:

OTC Journal

Larry Isen

Publisher