SOURCE: Five Star Equities

Five Star Equities

April 10, 2012 08:20 ET

JOBS Act Allows Emerging Biotech Companies to Focus Funding on Research

Five Star Equities Provides Stock Research on Aastrom Biosciences, Inc. and StemCells, Inc.

NEW YORK, NY--(Marketwire - Apr 10, 2012) - One major problems in recent years for emerging biotech companies has been funding for research. With the signing of the Jumpstart Our Business Startups (JOBS) Act emerging biotech stocks will be allowed five years to focus funding on research before having to allocate funds to costly regulations, saving companies up to $2 million per year. Five Star Equities examines the outlook for companies in the Biotechnology Industry and provides equity research on Aastrom Biosciences, Inc. (NASDAQ: ASTM) and StemCells, Inc. (NASDAQ: STEM).

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"This law will incentivize and encourage capital formation for small, emerging biotechnology companies that do not yet have products on the market," BIO President and CEO Jim Greenwood stated. "By allowing companies to focus their limited funds on research rather than on compliance, it will speed the development of new cures and treatments for patients living with debilitating diseases such as cancer, diabetes, Parkinson's, and HIV/AIDS."

"The American biotechnology industry thanks the Congress and President Obama for the enactment of the JOBS Act," concluded Greenwood.

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Aastrom Biosciences, Inc. recently announced that final results from the company's RESTORE-CLI Phase 2b clinical trial for ixmyelocel-T were published in the peer-reviewed journal Molecular Therapy. The Phase 2b clinical results demonstrated that treatment with ixmyelocel-T improved time to treatment failure in patients with critical limb ischemia (CLI) compared to the control group, and in the subgroup of patients with wounds at baseline demonstrated an improvement in amputation free survival.

StemCells, Inc. recently announced preliminary evidence of progressive and durable donor-cell derived myelination in all four patients who underwent transplantation with the Company's proprietary HuCNS-SC® cells (purified human neural stem cells) in its clinical trial for Pelizaeus-Merzbacher disease (PMD), a rare hypo-myelination disorder in children. In addition, clinical assessment revealed small but measureable gains in motor and/or cognitive function in three of the four patients; the fourth patient remained clinically stable.

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