Shares in Collagen rise
Stem cell firm signs first partnering deal
South Korean company Insung Medical Co will work with Collagen on the commercialisation of ChondroMimetic.
Shares in Collagen rose from 2.88p to 3.44p on the announcement, but fell back after profit taking to trade at 2.75p near the close.
The AIM-quoted company, which has labs in Glasgow, is expecting results from an eight-year clinical extension study to be reported early in the new year.
Insung Medical, based in the Wonju Medical Industry Techno Valley near Seoul, was established in 1984 and focuses on manufacturing and sales of consumable surgical products to domestic and overseas markets.
Insung’s existing product range and sales provides access to multiple local markets in South Korea. Subject to approval, ChondroMimetic will be commercialised by Insung Medical in collaboration with the existing Collagen Solutions commercial office in Seoul which will also provide technical and educational support.
US-based CEO of Collagen, Jamal Rushdy (pictured), said the agreement provided “early validation” of the global commercial opportunity of ChondroMimetic.
“Insung Medical’s enthusiasm for the opportunity to commercialise ChondroMimetic in South Korea aligns with our strategy to launch the product to address the unmet need for a simple, cost-effective and long-term clinically effective treatment for cartilage defects.”
Collagen Solutions and Insung Medical will collaborate to apply for approval by the Korean Ministry of Food And Drug Safety (MFDS) in parallel with Collagen Solutions’ application for the CE Mark for European approval. Expected timing of such MFDS approval is not determined at this time.