California Stem Cell, NeoStem deal

NeoStem will acquire stem cell company California Stem Cell for 5.3 million shares, or about $34.1 million based on NeoStem's close of $6.40 on April 11, before the deal was announced. California Stem Cell is also eligible for up to $90 million in milestones and royalties, payable in cash or shares. This year, NeoStem plans to start a U.S. Phase III trial with melapuldencel-T to treat metastatic melanoma, for which the product has Fast Track and Orphan Drug designation in the U.S. California Stem Cell, which had planned to start the trial next month, has an SPA from FDA for the trial. The product is a tumor cell-specific dendritic cell therapy and will be NeoStem's most advanced product. NeoStem said the purpose of the acquisition is to add a late stage asset to their portfolio. ...