International Stem Cell Corp. (ISCO) Covered in Re
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Earlier this week, Edison Investment Research, a leading independent investment intelligence firm, commenced coverage of International Stem Cell Corp. (OTCQB: ISCO). In the initial report, Edison gives prospective investors an in-depth look at ISCO’s current market position, including its impending Phase I/IIa clinical trials for the treatment of Parkinson’s disease, as well as its revenue-generating subsidiaries, Lifeline Skin Care and Lifeline Cell Technology, which Edison suggests ‘provide a floor under ISCO’s current valuation, creating an essentially free option on the PD candidate’.
To view the full report, visit http://dtn.fm/fIF6B
Leveraging its innovative human parthenogenetic stem cell (hpSC) technology, ISCO has developed 15 unique stem cell lines capable of functioning as a variety of cell types, such as livers cells, neural cells and three-dimensional eye structures. Crucially, ISCO’s groundbreaking platform enables the advancement of regenerative medicine while avoiding the common ethical concerns that have gone hand-in-hand with embryonic stem cells. Using a risk-adjusted net present value methodology and taking the market potential of this technology into account, Edison valued ISCO at $27 million, or about $9.60 per share on an undiluted basis. While the company’s success is largely contingent on the successful execution of its Parkinson’s disease clinical trials and its ability to attract a licensing partner to move forward with additional testing, strong preclinical data in primate studies highlights the promise of ISCO’s hpSC technology as the company approaches commencement of its Phase I clinical trial in Australia.
“Promising preclinical results support our expectation that ISC-hpNSC will bring a long-needed solution for patients suffering from Parkinson’s disease,” Russell Kern, PhD, executive vice president and chief scientific officer of ISCO, stated in a news release. “The ability of our approach to replace and protect dopaminergic neurons and restore neural function offers significant potential benefit to patients. We look forward to preliminary clinical data in Q4 2016.”
Over the next decade, Edison forecasts ISCO’s revenues through its cosmetic/skincare business to grow from $3.5 million to $4.8 million, achieving a compound annual growth rate of 3.2 percent, which is in line with forecast growth of the global skincare market. The research firm suggests that ISCO could begin generating profits stemming from the development of its stem cell technology by 2024, assuming the company’s promising preclinical results hold true throughout clinical testing.
For more information, visit www.internationalstemcell.com
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