Will BioMimetic Strike It Rich With Bone Graft Alternative? (BMTI)

BioMimetic Therapeutics

is preparing for the test of a lifetime, as the U.S. Food and Drug Administration prepares to evaluate — and possibly approve — BioMimetic's new Augment Bone Graft treatment. The FDA has plans to hold an advisory panel on May 12, 2011 to discuss the benefits and risks of the new product. Approval, if granted, is expected within three to six months after the panel date. Andrew Wilkinson, senior market analyst at Interactive Brokers Group and contributor to seekingalpha.com

that “One options strategist dabbling in BioMimetic call options today appears to be positioning for shares in the biotechnology company to trade above their current 52-week by May expiration.” Augment is a unique product in that serves as a substitute for autograft procedures in foot and ankle fusions. Essentially, patients who require foot and ankle fusion require a second procedure where bone is taken from another part of the body and grafted into the ankle joint. If approved, Augment will provide a synthetic alternative to the bone graft, saving patients from the pain and risks associated with a second surgery. Like all products developed by BioMimetic, Augment is based upon recombinant human platelet-derived growth factor (rhPDGF-BB) platform technology, which is a synthetic form of PDGF, one of the body's principal agents to stimulate and direct healing and regeneration. Through the commercialization of this patented technology, BioMimetic seeks to become the leading company in the field of regenerative medicine by providing new treatment options for the repair of bone, cartilage, tendons and ligaments, thus helping patients recover faster from their orthopedic injuries. BMTI is currently trading up $0.08 at $14.39 per share, within range of its 52-week high of $14.80.