Investors look for upside as stem cell specialists prepare to list
31 August, 2009, 10:24
The Institute of Human Stem Cells is about to see one of Russia’s first biotechnology IPO’s in its attempt to boost the Russian stem cell storage market.
Finding a cure for previously incurable diseases – stem cell technology is pushing back the frontiers of medicine. Just how the potential of stem cell technology can be practically utilized is still undefined, but its promise is already obvious .
Stem cells are stored in stem cell banks – the Institute of Human Stem Cells in Moscow has over 50% of the Russian market.
Compared to other countries, the market has a vast growth potential, and the institute has formed a company to market its services. It’s storing stem cells and using them to develop new treatment methods.
The company is preparing for an IPO in the autumn, and is hoping to float from 15 to 25% of its shares to raise just under $5 million dollars, according to Head, Artur Isaev.
“Out cash flow comes from storing stem cells, but we also have an R and D section where we work on developing drugs. Our aim is to use the material in creating drugs and methods for curing certain diseases. If we succeed in that – our capitalisation could grow many- fold.”