A Relatively New Approach To Stem Cells (CCEL, GERN, GE, NBS)
We have been partially fighting the urge to cover a relatively new angle on stem cell research for a while. Part of the resistance was due to the size and OTC-BB listing status of one of the companies we know of in the field, and part has been due to the actual process. Geron Corporation (NASDAQ: GERN) is our go-to stock for companies in the development of human embryonic stem cell based therapeutics, particularly after its recent deal with General Electric Co. (NYSE: GE). Neostem, Inc. (NYSE: NBS) is a company we have covered that has ties to stem cells from adults. The area we have been reluctant to cover is adult stem cell research from menstrual blood.
One company which has been active in the news that has been getting itself back on the map is Cryo-Cell International, Inc. (OTC Bulletin Board: CCEL). The company is small and its May balance sheet shows higher liabilities than assets. But the company is going to be presenting data on the proliferative ability of stem cells found in menstrual blood (MenSCs) and Cryo-Cell does have operations ongoing. It has also been public since the 1990’s and it has actually posted profits in the last three quarters.
Read more
Geron takes new steps toward stem cell-based vaccines (GERN, GE)
Geron Corp. (Nasdaq: GERN) shares are up 4.5% on Monday after the company took incremental steps that may bring it closer to delivering stem cell-based vaccines.
The company published data in the journal “Regenerative Medicine” showing that cells made from human embryonic stem cells show the normal functions of naturally-occurring human dendritic cells found in the bloodstream. The upshot is that the findings appear to support the use of stem cell-derived dendritic cells in vaccines for cancer and other diseases.
The news comes on the heels of the exclusive partnership Geron announced with GE Healthcare (NYSE: GE ) last week.
Geron is using a dendritic cell platform with its Phase II cancer vaccine for treating Leukemia, called GRNVAC1. It is a costly endeavor because they use cells generated from individual patients.
A next step for Geron may be for it to step up efforts for its second-generation cancer vaccine, GRNVAC2, which is based on dendritic cells derived from human embryonic stem cells. The stem cells in theory could allow the company to deliver a standard therapy that has the same potentcy for all patients. It also might eliminate the need for blood collection and make the treatment less costly.
Another potential upcoming catalyst for Geron could be the possible launch of a Phase I trial for GRNOPC1 targeting spinal cord injury. It could happen by the end of August, and may end up being the first embryonic stem cell study held in the U.S.
Geron shares were trading near $8 at 12:30 Eastern. — Mike Tarsala.
Stem cell companies get endorsement from industry heavyweight (GERN, STEM, ASTM, GE)
Geron Corp. (Nasdaq: GERN) are up more than 25% in premarket trading after announcing an exclusive global licensing agreement with General Electric Co.’s (NYSE: GE) GE Healthcare.
The announcement is seen as an endorsement of the research done over the years by small-cap stem cell research companies. Rival stem cell biotechs including Stem Cells Inc. (Nasdaq: STEM) and Aastrom Biosciences Inc. (ASTM) also are rising on the news.
The GE Healthcare announcement is likely to be seen as an endorsement of the work that Geron had done on its own in bringing human embryonic stem cell-based therapies to market. The company plans to begin a Phase I trail of a therapy called GRNOPC1 for patients with thoratic injury, potentially in coming weeks.
by YE09.
The two companies have established a multi-year alliance program under which their respective scientists will work together to develop products for drug discovery.
GE Healthcarewill fund the R&D program and will be responsible for manufacturing, sales and distribution of products developed under the agreement. — Mike Tarsala
Medicare Denies Virtual Colonoscopy Reimbursement (GE, SI)
Medical imaging leaders such as General Electric Co. (NYSE: GE) and Siemens AG (NYSE: SI) were just dealt a blow after the CMS, or the Center for Medicare and Medicaid Services, issued a final decision that Medicare would not reimburse the virtual colonoscopies. The CMS noted in its memo, “The evidence is inadequate to conclude that CT colonography is an appropriate colorectal cancer screening test…. CT colonography for colorectal cancer screening remains noncovered.”
We gave a full synopsis, and perhaps a rather rude analysis of this matter, over at 24/7 Wall Street. Because this is a actually a personal issue for us that hits sort of close to home, we’ll leave it at that.
Here is a full link to the CMS decision not to reimburse for the virtual colonoscopies.
JON C. OGG
Cytori Lands Another G.E. Healthcare Pact (CYTX, GE)
Cytori Therapeutics (NASDAQ: CYTX) has a significant new partner, and just a day or two within raising $4.2 million in capital. The company has announced an agreement with GE Healthcare, a unit of General Electric Co. (NYSE: GE) to commercialize Cytori’s StemSource technology in the North American stem cell banking and research markets.
Read more
GE Expands Healthcare Unit With Vital Signs Buyout (GE, VITL)
General Electric Co. (NYSE: GE) is finally doing a health care acquisition, albeit this one is smaller than some may have guessed (we are included). The company is acquiring Vital Signs Inc. (NASDAQ: VITL) for $860 million in cash or $74.50 per share.
Vital Signs will become part of the existing GE Healthcare’s Clinical Systems business. GE is essentially buying a portfolio to expand medical operations in monitoring, anesthesia, sleep therapy, and respiratory care.
If you review the 247wallst.com exclusive interview with GE’s CFO Keith Sherin, he outlined the hurdles and benchmarks for the company to do a deal and he also noted that medical did have the “green light” to do a deal in the sector. This is one that flew under our radar and the radar of others who were trying to peg which company GE would acquire.
Jon Ogg
July 24, 2008
