Medistem Advances Negotiations to License Stem Cell Laboratories and Clinics
News May 29, 2006
Medistem Laboratories, Inc. has announced continued progress in its strategic goal to establish a series of international laboratory and clinical facilities to conduct research and fee-for-service treatments employing the Company's proprietary stem cell-based therapeutic technologies.
Medistem is currently in negotiations to license its technology to laboratories and clinics in locations around the world, including Germany, Switzerland, Bulgaria, Singapore, and Mexico.
These negotiations would grant the international licensees the ability to further develop medically needed therapies based on Medistem's patent-pending, proprietary adult stem cell technologies, and enable fee-for-service patient treatments.
"We've made a great deal of progress in our program to expand our international licensees and create a network of first-class international affiliates," said Neil Riordan, Ph.D., Chairman, and CEO of Medistem.
The planned network of international licensees is a central element of Medistem's overall business vision to develop revenues through licensing its technologies to affiliates which will provide fee-for-service treatments.
Medistem has executed a technology licensing and royalty agreement with the Institute for Cellular Medicine (ICM) in San Jose, Costa Rica, which enables ICM to culture stem cells and work with physicians to develop and deliver Medistem's stem cell technologies and therapies.
That facility is in the process of obtaining its license from the Health Ministry in Costa Rica.
Although Medistem has not yet begun marketing or advertising its technologies or the availability of therapeutic services, a substantial number of interested parties who have learned of the Company's technology initiatives have contacted Medistem and its affiliate, ICM, independently to inquire on treatment services. To date 100 inquiries have been made.
Initially, Medistem plans to focus on the development of stem cell-based therapeutics for a number of devastating neurological conditions which are currently incurable and difficult to treat.
Central among Medistem's business and clinical initiatives is its planned launch of clinical trials to develop stem cell therapies to treat stroke.
The Company also recently filed a U.S. patent application for stem cell based technology to treat lower back disorders by preventing spinal disc degeneration.
Back pain disorders and complaints represent the second most common reason for doctor visits and cost the U.S. economy alone more than $50 billion annually.
Medistem's technology is designed to address these problems through the application of regenerative stem cell-based medicine.