StemCells Down 10% As Company Discontinues Batten Disease Program (STEM)
StemCells (NASDAQ: STEM) shares are plunging today, down more than 10% after the company put out a press release this morning saying that it would be discontinuing its batten disease program, as it could not find patients for its trial.
Stephen Huhn, MD, FACS, FAAP, Vice President and Head of the CNS Program at StemCells, Inc., stated, "In clinical trials for rare diseases, timely patient enrollment is always of concern to study sponsors. Unfortunately, this concern has materialized in our Phase Ib NCL study. Out of 22 initial prospects, not one patient has met the entry criteria. This experience has also highlighted the significant challenges the Company would face in completing, within a reasonable period of time, the much larger studies in the target patient population that would ultimately be required for marketing approval. These factors, combined with our limited corporate resources, have prompted the decision to shelve our clinical development program in NCL at this time."
Martin McGlynn, President and CEO of StemCells, Inc., commented, "We wish to thank the clinicians and staff at OHSU for their dedication and contributions to this pioneering stem cell research. We are also deeply grateful to the families of the six patients involved in our Phase I trial. No doubt, this decision will come as a great disappointment to the NCL community, but I would like to point out that their support has greatly contributed to the prospect that this groundbreaking technology will one day result in a treatment for a broad range of debilitating neurodegenerative disorders. As a result of this clinical research, we have established that we can safety transplant meaningful doses of HuCNS-SC cells directly into the brain, and that patients can tolerate both the surgical intervention and the immunosuppression regimen. We also now have evidence that, once transplanted, the cells are capable of engrafting and surviving long-term, suggesting the possibility of durable clinical benefit. And, importantly, we have not observed any evidence of aberrant cell behavior or tumor formation in patients who are now more than three years post-transplant, and whom we continue to follow as part of a long-term observational study."
At last check, shares were off 9 cents to 78 cents.
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.