Shares of biotech firms specializing in stem cell therapies are performing well on KOSDAQ, despite the latest plunge of Cha Biotech, one of the promising biotech stocks.
On Monday, stem cell therapy-related firms, including Corestem, Medipost, and Kangstem Biotech, saw their stock prices increase from the previous trading day. Their shares used to move along with Cha Biotech as they are grouped as “stem cell-related stocks.”
Corestem, in particular, saw its share prices shot up by nearly 30 percent to 16,800 won ($15.46) at noon on Monday from the Friday closing price.
Lou Gehrig’s disease cell treatment Neuronata-R, the flagship product of Corestem, recorded 1.22 billion won sales as of the third quarter of last year. About 85 percent of the company’s revenue comes from non-clinical trials.
Corestem owns Chemon as a non-clinical service subsidiary. Corestem merged the firm and listed on the stock market last year. Corestem is investing in research and development of new trials methods to expand Chemon’s share in the validity assessment service market.
Medipost also rose 8 percent to 150,000 won per share on Monday, joining the stock price surge of Corestem. The company announced on Monday that it has completed the phase-1/2a clinical trials on Cartistem, a treatment for degenerative arthritis, in the U.S.
The biotech firm said Cartistem has proved its efficacy in improving knee pain and function after the treatment for 12 months and 24 months in the clinical trials.
Kangstem Biotech shares went up more than 6 percent to 13,800 won, and Cho-A Pharm, 6 percent to 6,200 won, on Monday morning. The company obtained approval for a phase-1/2a trials plan to test Purestem-RA Inj. to treat rheumatoid arthritis last month.
Kangstem Biotech plans to evaluate the tolerability and efficacy of repeated doses of Purestem-RA Inj. in patients with moderate to severe rheumatoid arthritis. It is also testing phase-1/2a local trials for patients with Crohn's disease.
Cho-A Pharm, which turned from losses to 300-billion won profits last year, also enjoyed stock price gains with major products selling well. The drugmaker’s flagship items include Galeo (a bile therapy) and health functional food Cho-A Bitone. The company is attracting attention with its study on the production of transgenic clone pigs.
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