Bio company Nature Cell's stock has been strong for two consecutive trading days. This appears to have stimulated investor sentiment following news of its designation as a breakthrough therapy by the U.S. Food and Drug Administration (FDA).
Nature Cell stock traded at 27,150 won at 9:18 a.m. on the 25th in the Korea Securities Dealers Automated Quotations (KOSDAQ). The stock price rose 22.3% (4,950 won) from the previous day.
As soon as the market opened, Nature Cell stock was traded at 28,550 won, marking the highest price in the past year. Nature Cell finished the previous day at the upper limit of the daily price cap.
Nature Cell noted on the 21st that its stem cell therapy 'Jointstem' for degenerative joint disease was designated as a breakthrough therapy by the FDA. This is the first of its kind in South Korea. Being designated as a breakthrough therapy allows for intensive support from the FDA, including fast track status, which increases the likelihood of product approval.
According to Nature Cell, Jointstem is a stem cell therapy for patients with severe knee osteoarthritis. It is said that a single injection into the knee joint space can result in pain reduction and improvement in joint function, with effects lasting for at least three years through cartilage regeneration.