Oppenheimer Reiterates Perform Rating on Aastrom Biosciences on Discontinuation of Phase III REVIVE CLI
In a report published Wednesday, Oppenheimer analyst Boris Peaker reiterated a Perform rating on Aastrom Biosciences (NASDAQ: ASTM).
In the report, Peaker noted, “Earlier today, Aastrom announced that it will discontinue the Phase III REVIVE CLI study, the company's most advanced program, and shift its focus toward the development of ixmyelocel-T for dilated cardiomyopathy (DCM). The company now expects to commence its Phase IIb ixCELL-DCM study of ixmyelocel-T for DCM in the coming weeks. Aastrom also announced that it will undertake corporate restructuring aimed at reducing staff and operating expenses by ~50%. Enrollment in the REVIVE-CLI study has been very slow with just 40 patients at the last update (3/19/2013). Aastrom has few near-term milestones and despite restructuring, it will need additional financing. We maintain our Perform rating.”
Aastrom Biosciences closed on Tuesday at $0.73.
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