The following pages discuss the nature of AWM Investment Company’s investment advisory
business and introduce its principal owners and other pertinent personnel.
Advisory Business
AWM Investment Company, Inc. (“AWM”) has been in business since 1992. Our firm offers
investment advice primarily in equity securities and securities with equity features of publicly
traded companies that possess a technological, market or product niche, that may be for various
reasons, undervalued or with prospects of going private or being acquired. We tailor our
investment advice to eight funds for which we serve as investment adviser. These funds are:
Special Situations Fund III QP, L.P. (“SSFQP”), Special Situations Cayman Fund, L.P. and its
feeder fund, Special Situations International, Ltd., (collectively, the “Cayman Fund”) Special
Situations Private Equity Fund, L.P. (“Private Equity Fund”), Special Situations Technology
Fund, L.P. (“Tech Fund”), Special Situations Technology Fund II, L.P. (“Tech Fund II”),
(together referred to as the “Tech Funds”), Special Situations Life Sciences Fund, L.P. (“Life
Sciences Fund”), Life Sciences Innovation Fund, L.P. (“Innovation Fund”) and Life Sciences
Innovation Fund II, L.P. (“Innovation Fund II”), (together referred to as the “Innovation Funds”).
Additionally, AWM serves as the general partner of MGP Advisers Limited Partnership
(“MGP”), the general partner of SSFQP.
Each of the funds, except the Cayman Fund, are Delaware limited partnerships, and combined
have a total of $832,805,232 in net assets as of January 1, 2023. The Cayman Fund is a Cayman
Island’s limited partnership. We have complete discretionary authority over the assets in each of
the funds and we do not serve as investment advisor to any other accounts, discretionary or
otherwise.
When making investment decisions on behalf of any one fund we consider that fund’s unique
investment objective. Two of the funds, SSFQP and the Cayman Fund, seek to maximize capital
appreciation through general analysis of equity and equity-related securities, while the Tech
Funds focus primarily on publicly traded companies that provide products and services in the
communications, information and other technology-related fields. The Life Sciences Fund
invests primarily in publicly traded equity of companies that provide products and services in
health care, life sciences and related fields. The Private Equity Fund invests primarily in
privately negotiated and privately placed equity and equity-related securities of publicly traded
companies which possess a technological, market or product niche. The Innovation Fund invests
in various seed, early and developmental stage private companies in the assisted reproductive
technology sector. The Innovation Fund II was formed as a follow-on fund of the Innovation
Fund to make follow-on investments in the portfolio companies of the Innovation Fund.
AWM also provides certain administrative duties to each of the funds discussed above. As such,
we provide the office space, facilities and personnel that are necessary in order to provide these
administrative services required for the operation of the business and affairs of the funds.
Principal Owners and Pertinent Personnel
The principal owners of AWM are David M. Greenhouse, President and Adam Stettner,
Executive Vice President. Austin W. Marxe is a minority shareholder of AWM.
Austin W. Marxe was born in 1940 and is a minority shareholder of AWM. Mr. Marxe resigned
as President of AWM effective June 30, 2022. Mr. Marxe is a member of Life Sciences
Innovation GP LLC, the general partner of the Innovation Funds and SSCayman L.L.C., the
general partner of the Special Situations Cayman Fund, L.P. Mr. Marxe received his B.A. from
CUNY (1963).
David M. Greenhouse was born in 1960 and is a shareholder of AWM since 1992. Mr.
Greenhouse served as the Executive Vice President from 1992 through June 30, 2022, when he
was appointed and serves as President. Mr. Greenhouse has participated in the management of
the investments of the funds since 1992. He is a limited partner of MGP, the general partner of
SSFQP and is also a member of each of the general partners of the above funds. Mr. Greenhouse
received his B.S. from the University of Virginia (1982) and his M.B.A. from the University
of
Pennsylvania (1987).
Adam Stettner was born in 1964 and is a shareholder of AWM since 2010. From December 31,
2013, through June 30, 2022 Mr. Stettner served as Vice President of AWM. Effective June 30,
2022, Mr. Stettner was appointed and serves as Executive Vice President. He is a limited partner
of MGP and is also a member of each of the general partners of the above funds. Mr. Stettner
has served as portfolio manager for the Tech Funds since their inception, with the first Tech
Fund’s formation in 1997. Prior to managing the Tech Funds, Mr. Stettner was President of
Stettner Consultants, Inc., a technology consulting company that he founded in 1989. He
received his B.A. in Physics (1986) and his M.S. in Computer Graphics (1989) from Cornell
University.
Dr. David B. Sable, born in 1959, is a limited partner of MGP and is also a member of LS
Advisers, LLC, the general partner of the Life Sciences Fund, L.P., and is the managing member
of Life Sciences Innovation GP LLC, the general partner of the Innovation Funds. Dr. Sable has
been the portfolio manager for the Life Sciences Fund since its formation in 2005 and for the
Innovation Fund since its formation in 2018 and for the Innovation Fund II since its formation in
2021. Prior to serving as portfolio manager for these funds, Dr. Sable served as the Director of
the Division of Reproductive Endocrinology at Saint Barnabas Medical Center in Livingston,
New Jersey (1999-2004). Dr. Sable also served as an Associate Director (1992-1998) at Saint
Barnabas and has acted as Obstetrician and Gynecologist at Saint Barnabas (1992-2004), Saint
Luke’s Roosevelt Hospital Center, New York, NY (1998-1999), Brigham and Women’s
Hospital, Boston, MA (1990-1992) and New York Hospital, New York, NY (1989-1990). Dr.
Sable received his B.S. from The Wharton School, University of Pennsylvania (1981) and his
M.D. from the University of Pennsylvania (1986). Dr. Sable serves as a board observer and is on
the scientific advisory board of TMRW Life Sciences, Inc. and is on the Board of Directors of
Hamilton Thorne, Ltd., and Celmatix, Inc. all companies owned by the Funds. In March of 2023,
Dr. Sable joined he medical advisory board of Conceivable Life Sciences, Inc.
Alexander Silverman, born in 1971, joined the firm in April 2000 as a senior member of the
investment team. He currently is a member of MG Advisers, LLC, the general partner of the
Private Equity Fund, and serves as the Private Equity Fund’s portfolio manager. Effective
January 2020, he is also a limited partner of MGP. From 1995 to 2000 he was with Value Line
Asset Management, first as a small-cap analyst, then an associate portfolio manager (1997 to
1998) and finally as a portfolio manager overseeing $1 billion in small-cap investments. Prior to
that he served as an equity analyst at Value Line from 1993-1995, publishing research on 35
companies in various industries. Mr. Silverman earned his B.A. in Psychology from Kalamazoo
College (1993) and his M.B.A. from New York University Stern School of Business (1999).
Ryan M. Nelson, CFA, born in 1975, joined the firm in April 2011 as a research analyst-
generalist. Mr. Nelson is currently a limited partner of MGP and is a member of SST Advisers,
LLC, the general partner of the Tech Funds. Mr. Nelson serves as an assistant portfolio manager
of SSFQP. From 2008 to 2010 he worked as a small-cap analyst and assistant portfolio manager
at a start-up hedge fund in Philadelphia. Prior to that he was a Principal and financial services
analyst at Chartwell Investment Partners and a small cap generalist at Liberty Ridge Capital.
Before earning his MBA, Mr. Nelson was a strategy consultant at Marakon Associates and a
member of Capital One Financial’s internal strategy team. He earned his B.A. in Economics
from Northwestern University (1997) and his M.B.A. from the Wharton School, University of
Pennsylvania (2005).
Marianne Kelly, born in 1979, is the Secretary and Chief Compliance Officer for AWM. She
joined the firm on April 3, 2000, as an Operations Specialist, serving in various capacities
throughout the firm, including compliance. Ms. Kelly received her B.S. in Business Finance and
Economics from The College of Staten Island (2012). and was designated an Investment Adviser
Certified Compliance Professional® in March 2022