Market Overview

SanBio: Acquisition of a Patent Portfolio Regarding Cell Medicines Derived from Mesenchymal Stem Cells


The SanBio Group, a scientific leader in regenerative medicine for
neurological disorders, today announced the acquisition of a patent
portfolio regarding cell medicines derived from mesenchymal stem cells
(hereinafter the Patent Portfolio).

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Image of the Technology of MSC1 and MSC2 (Graphic: Business Wire)

Image of the Technology of MSC1 and MSC2 (Graphic: Business Wire)

The Patent Portfolio is pertaining to technology (hereinafter the
Technology) discovered by Dr. Aline Betancourt, a researcher at Tulane
University, that enhances anti-inflammatory and pro-inflammatory
functions of mesenchymal stem cells (MSCs)*1 by stimulating
specific Toll-like receptors (TLRs)*2 expressed on
mesenchymal stem cell membranes while maintaining safety and
tolerability profile of mesenchymal stem cells. Mesenchymal stem cells
induced to have enhanced anti-inflammatory function (MSC2 phenotype) and
those induced to have reinforced pro-inflammatory function (MSC1
phenotype) using the Technology are more likely to migrate to injury
sites and express higher homogeneity compared with naïve, uninduced
mesenchymal stem cells, indicating their therapeutic potential as highly
safe and effective agents.

The MSC2 phenotype, with its enhanced anti-inflammatory function, has
therapeutic potential against demyelinating disorders (e.g., optic
neuritis, multiple sclerosis, and Krabbe disease), diabetic neuropathy,
and inflammatory disorders (e.g., rheumatoid arthritis and Crohn's
disease). Pre-clinical studies using animal models of each disease are
currently underway. Regarding the MSC1 phenotype, which demonstrates
reinforced pro-inflammatory function, pre-clinical studies have shown
that it attenuates tumor growth as opposed to uninduced mesenchymal stem
cells that promote proliferation of tumor cells. Based on such findings,
development of MSC1 phenotype for the treatment of cancer is highly

SanBio is currently conducting phase 2 clinical trials of regenerative
cell medicine SB623 in its propriety development pipeline targeting
chronic motor deficit from ischemic stroke in the US and targeting
chronic motor deficit from traumatic brain injury (TBI) in Japan. SB623
consists of mesenchymal stem cells derived from adult bone marrow that
undergo a genetic modification. It is a stem cell-based therapy with
potential to promote brain tissue regeneration that helps patients with
ischemic stroke or TBI recover lost functions when administered to the
area around the injury site. In animal studies where SB623 was
administered to brains of mouse models of ischemic stroke, phenomena
such as migration of neural stem cells to injury sites, proliferation of
nerve cells, and angiogenesis were observed.

Acquisition of the Patent Portfolio will enable SanBio to expand its
development pipeline into areas of inflammatory disorders and cancer in
addition to neurological disorders targeted by SB623. By leveraging its
knowledge and expertise relating to mesenchymal stem cells SanBio has
cultivated so far, SanBio will work to develop new cell medicines based
on the Patent Portfolio.

*1:   Mesenchymal stem cells are multipotent cells that possess
self-renewal capacity. They can differentiate into osteoblasts,
cardiomyocytes, chondrocytes, tenocytes, adipocytes, and other cells
that are part of the mesenchymal system.
*2: Toll-like receptors recognize both exogenous (e.g., microbial and
viral components) and endogenous (e.g., proteins released in
response to tissue injury) danger signals. They are usually
expressed on the membranes of sentinel cells such as macrophages and
dendritic cells. Ten types of Toll-like receptors that recognize
structurally different molecules have been identified in humans so

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