Endometrial Stem Cells Yeild Postive Clinical Trial Results for Heart Disease

More progress reported on the treatment of heart disease with endometrial stem cells. Neil Riordan, PhD is one of the early pioneers of endometrial stem cell technology. Dr. Riordan is also the Founder and President of the Stem Cell Institute in Panama City, Panama.

Positive Two-Month Data From RECOVER-ERC Congestive Heart Failure Trial

SAN DIEGO, CA–(Marketwire – Jun 4, 2012) – Medistem Inc. (PINKSHEETS: MEDS) announced today positive safety data from the first 5 patients enrolled in the Non-Revascularizable IschEmic Cardiomyopathy treated with Retrograde COronary Sinus Venous DElivery of Cell TheRapy (RECOVER-ERC) trial. The clinical trial uses the company’s “Universal Donor” Endometrial Regenerative Cells (ERC) to treat Congestive Heart Failure (CHF).

According to the study design, after 5 patients enter the trial, they must be observed for a two month time period before additional patients are allowed to enter the study. Patient data was analyzed by the study’s independent Data Safety Monitoring Board (DSMB), which concluded that based on lack of adverse effects, the study be allowed to continue recruitment.

“Medistem is developing a treatment for CHF that uses a 30-minute catheter-based procedure to administer the ERC stem cell into the patients’ hearts. The achievement of 2 month patient follow-up with no adverse events is a strong signal for us that our new approach to this terrible condition is feasible,” said Thomas Ichim, CEO of Medistem.

The RECOVER-ERC trial will treat a total of 60 patients with end-stage heart failure with three concentrations of ERC stem cells or placebo. The clinical trial is being conducted by Dr. Leo Bockeria, Chairman of the Backulev Centre for Cardiovascular Surgery, in collaboration with Dr. Amit Patel, Director of Clinical Regenerative Medicine at University of Utah.

“As a professional drug developer, I am very optimistic of a stem cell product that can be used as a drug. The ERC stem cell can be stored frozen indefinitely, does not need matching with donors, and can be injected in a simple 30-minute procedure into the heart,” said Dr. Sergey Sablin, Vice President of Medistem and co-founder of the multi-billion dollar NASDAQ company Medivation.

Currently patients with end-stage heart failure, such as the ones enrolled in the RECOVER-ERC study, have no option except for heart transplantation, which is limited by side effects and lack of donors. In contrast to other stem cells, ERC can be manufactured inexpensively, do not require tissue matching, and can be administered in a minimally-invasive manner. Animal experiments suggest ERC are more potent than other stem cell sources at restoring heart function. The FDA has approved a clinical trial of ERC in treatment of critical limb ischemia in the USA.

About Medistem Inc.
Medistem Inc. is a biotechnology company developing technologies related to adult stem cell extraction, manipulation, and use for treating inflammatory and degenerative diseases. The company’s lead product, the endometrial regenerative cell (ERC), is a “universal donor” stem cell being developed for critical limb ischemia and heart failure. A publication describing the support for use of ERC for this condition may be found at http://www.translational-medicine.com/content/pdf/1479-5876-6-45.pdf.

Cautionary Statement
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of our securities. This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking information. Factors which may cause actual results to differ from our forward-looking statements are discussed in our Form 10-K for the year ended December 31, 2007 as filed with the Securities and Exchange Commission.

Medistem Contact:

Thomas Ichim
Chief Executive Officer
Medistem Inc.
9255 Towne Centre Drive
Suite 450
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858 642 0027
www.medisteminc.com
twitter: @thomasichim

Excerpts from Interview with Dr. Amit Patel, Director of Regenerative Medicine, University of Utah by Thomas Ichim, Ph.D, CEO of Medistem Inc

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Ichim: Which one was the first stem cell trial for cardiac conditions?

Patel: It is like one of those questions like who did the first heart operation. There is a lot of debate as to what was the first to use cells plus therapy and there have been a number of trials. Myoblasts were performed in 2000, the Chinese reported work performed in 1999 or 2000, and the Ralfstock guys in Germany 2000s. So there are a number of trials, including ours, all in the 2000-2003 period that where being conducted almost simultaneously.

Ichim: Pardon me for asking because I should really know this, which one was yours?

Patel: The original CABG plus cells, which was performed in South America and India.

Ichim: Lets talk about Phase 2 trials in cardiac, we all have seen the excellent co-development deal between Cephalon and Mesoblast that happened in December of last year and we are all interested in how far are they?

Patel: The Cephalon-Mesoblast work is interesting. They are doing a 60 patient randomized trial here in the US in patients with Class II-IV heart failure. From the data thus far released there is a significant reduction in treatment group in terms of adverse events as compared to the placebo control group, they have not reported any efficacy data in terms of ejection fraction and the like.

Something unique from the data they presented was that they showed up to 2/3 of the control group were class III heart failure and 2/3 of the treatment group were class II. The early data was very interesting and promising. The safety of the data was very eloquent and reproducible. One thing that was very unique was Erik Dukker’s European large animal acute MI data which was the best in terms of scar reduction for any allogeneic MSC that I have seen to date. That data, if it pans out, in humans will be very interesting.

Ichim: How did Mesoblast administer their cells? Did they use balloon catheter in the heart failure patients?

Patel: They used NOGA mapping and administration, in chronic heart failure, both ischemic and non-ischemia. They did not do acute myocardial infarction in this trial.

Their trial had similarities with our Phase II Aastrom, which also uses NOGA administration in treatment of patients with ischemic and non ischemic heart failure. It is different in that we were looking only at class III/IV heart failure.

Ichim: How is that trial coming along?

Patel: Ours is completed from the patient recruitment and treatment perspective.

We are waiting 6 month data. Our trial was a three center trial between myself, Tim Henry and Mark O’Costa. These three centers were heavy enrollers. We had low adverse events so far. This study involves patient’s own bone marrow stem cells expanded for 12 days using Aastrom’s proprietary bioreactor system.

Ichim: Lets go back to my question about Mesoblast. Remember we were chatting at the meeting about this. There seems to be a lot of different players in this field that are all using bone marrow derived stem cells. Obviously I believe endometrial derived stem cells possess numerous advantages. But there is Osiris’s mesenchymals, there is Athersys who are using Catherine Verfaille’s cells that seem to be like mesenchymal stem cells except for their smaller size. What is the cell that Mesoblast is using? Are they just another type of mesenchymal stem cell?

Patel: By name they call them the cells mesenchymal precursors. The Mesoblast cells are unique in that they express STRO-1 and VLA-4.

In my opinion everyone’s stem cells have unique properties and surface markers be they Osiris, Mesoblast, Athersys, Allocure, and a couple other products that are bone marrow based.

What is unique to see will be the IP landscape, are they same cells or cousins? This may be a situation like the CD133 versus CD34. In this field we know that all mesenchymal stem cells are not the same but the question will be how similar or different are they when you apply them clinically?

Ichim: Did we forget to mention any other ones?

Patel: I am sure that we did, but not for want to miss them but just because they have not made enough noise. Actually the one trial we forgot to discuss was the Athersys phase I which Warren Sherman from Columbia presented using the Cricket catheter, which is adventitial delivery, that was a very safe trial. It will be interesting to see how they do in the next generation for their phase II AMI study.

Ichim: That was very interesting. That was the one with the bizarre catheter that actually had a couple of needles in it?

Patel: That catheter had one needle, it causes a microperforation to allow for perivascular injection. This is a very innovative concept since people that use the standard intracoronary delivery techniques seem to have a lot of washout of the cells.

Ichim: I don’t get it. So they are making a small hole in the blood vessel, why is it that there is no bleeding or damage?

Patel: The microperforation is way too small. You do not perforate into the pericardium. It only barely perforates. However it does require a well highly trained skill set to manipulate that catheter. If you had been listening to Dr. Sherman’s presentation you would have seen that there were no catheter-related injuries.

Ichim: (Laughing). OK, what about the large Brazilian data? That was also a session that I didn’t listen through in entirety.

Patel: That data was 10 year follow-up on several Brazilian studies. The work was initially performed in heart failure using NOGA by Hans Doneman, then they had Emerson Perin and Jim Willerson. We also had our work which involved CABG. That was groundbreaking work that set the foundations for a lot of the cardiac cell therapy that is being performed today. We are still waiting to hear the outcomes of the studies that were funded by the government of Brazil including the work on Chagas, dilated cardiomyopathy, and CABG.

Ichim: Speaking of South America, what did Jorge Tuma present?

Patel: This was incredible data that had patients who have been followed for 8 years. Cell administration was performed via the retrograde technique which we developed with him. The original experiments involved bone marrow mononuclear cells isolated by ficoll, heap-starch, CD34, etc, he is now using the Harvest system for autologous bone marrow mononuclear cell collection. He presented data on ten patients treated with this.

Ichim: This is what I love about interviews, I can ask all sorts of questions about things that I should know but I don’t. What exactly is this “retrograde technique”? I have heard you mention it several times.

Patel: We access the venous system of the heart. We occlude the outflow and deliver the biologic into the heart. What is unique is that the venous system does not get the same atherosclerosis as the arterial system. This procedure has been around since 1898..its been around from back then…the idea was can we give oxygenated blood back to the heart. It was in the 50s and 60s when Illahi started to implement this. I use this in my heart operations to give chemicals and nutrients into the heart backwards during open heart operations…so I said how

Administration of cells using the retrograde technique takes me half hour to do. This appears to be a safe and cost efficient means to deliver a biologic to the heart on incredibly sick patients.

Ichim: To put in things in perspective regarding cell administration. I know that NOGA is expensive and not too many centers have it. But how long does it take to do a NOGA administration of stem cells into the heart?

Patel: 1-2.5 hours, usually 90 minutes at best, you are manipulating the inside of the heart so there is a risk of irregular rhtyums, also low risk of perforation

Ichim: I still don’t really understand this retrograde technique. How is it that the cells actually enter the heart? Do they actually cross into the tissue?

Patel: You block the outflow of the heart and under pressure you push the cells into the venous system. So you have created a column of cells. You have antegrade blood flow and retrograde stop flow, so the cells either go into the tissue or perforate the sinus…perforate the sinus is very rare, less than 1 % in over a couple hundred patients. These are microperforations in the venous system so it doesn’t require emergent surgery…all of the patients in which this has occurred have done well.

Juventas presented some data in large animals in which the SDF plasmid showed a significant uprgulation using retrograde techniques in contrast to other means of delivery.

Ichim: To switch topics I saw you on CNN about spraying stem cells on poor patients with bad burns, how do the cells go inside of the tissue?

Patel: We add calcium and thrombin, it looks like jello if you were to spray it into the petri disue, so you have retention by tissue adhesion and the mechanical properties of the collagen, thrombin and calcium, so you are creating a matrix for your biologic. So it really is spray on and it actually sticks there.

Ichim: I remember you now based in Utah, what ever happened to that company in your neck of the woods Allocure? How are they doing these days?

Patel: The last I heard they completed Phase I trial here in Utah, they were giving at the time of heart surgery for renal production. They have a bone marrow mesenchymal cell product. The trial is completed, we are looking to see what their next study will be. Will the stick to renal protection or will they follow other companies by entering CLI, heart failure, etc.

Ichim: You know, I was impressed by that company C3 or something like that, they were using differentiated cells for heart?

Patel: That was a Phase I/II trial by Joseph Bartnak where they have a bone marrow mesenchymal cell that was cultured in a procardiac cocktail. It was administered by noga or endocardial mapping. And again the data looked interesting…we look forward to their next trial and when they come to US

Ichim: What they were doing was really new in my humble opinion. It seems to me like everyone in this field is administering undifferentiated cells based on the belief or hope that the damaged tissue will program the undifferentiated stem cell to become a cardiomyocyte. To your knowledge are there other people using differentiated or semi-differentiated cells?

Patel: Yes of course. There is Capricor, Eduardo Marban’s company. They are taking a biopsy of the patient’s own heart, grow up the cells and put them back in. They don’t put the cardiospheres back in because they are too large but put in some cells derived from cardiosphere grown in vitro. One of the issues they are facing is that their procedure is very much dependent on the starting material. They were able to do biopsy but because there was large variability in the weight of the starting tissue, it is important to figure out how to get enough

Ichim: Conceptually it seems counter-intuative to take out heart from a patient with heart failure !

Patel: People do right heart biopsy in transplant patients, doing native heart biopsy you are always concerned about damaging the valve. Raj who was doing the procedure for them is a great interventionalist, but have to make sure that the procedure is designed so that other interventionalists who may not have his skill set can do it. The concept is great but manufacturing and reproducibility is important.