Athersys, Inc. (ATHX) Shares Up 33% On Announcement of MultiStem Stroke Treatment Partnership


Athersys, Inc. (NASDAQ:ATHX) share are up over 33% in the pre-market this morning after the company announced that they have formed a partnership with Healios K.K. and signed a license agreement that will help them develop and commercialize “novel cell therapy treatments, including MultiStem for ischemic stroke patients in Japan.

Athersys, Inc. (NASDAQ:ATHX) has developed the MultiStem treatment, which is proprietary and is still in development. Healios K.K. also has a lot to gain in this partnership as they will now have the exclusive rights to continue developing MultiStem for treating ischemic stroke in Japan. They will be responsible for commercializing the treatment in the country of Japan only, while Athersys will continue to have the rights for development and commercialization in all other countries.

It’s not just ischemic stroke that Healios K.K. will have the rights to develop this treatment for though. They will also have the option of exclusively developing it for Acute Respiratory Distress Syndrome.

Athersys, Inc. (NASDAQ:ATHX) will get a license fee of $15 million as well as milestone and royalty payments from Healios K.K.. These milestones could reach over $185 million, if successful.

The stock closed at $1.03 during the last trading session. It is down 18.25% since June 4, 2015 and is downtrending. It has underperformed the S&P500 by 12.40%.

The institutional sentiment increased to 2 in Q2 2015. It’s up 1.47, from 0.53 in 2015Q2. The ratio improved, as 3 funds sold all their Athersys, Inc. shares they owned while 7 reduced their positions. 7 funds bought stakes while 13 increased their total positions. Institutions now own 11.96 million shares which is 56.77% more than the previous share count of 7.63 million in 2015Q2.

Winfield Associates Inc. holds 0.05% of its total portfolio in Athersys, Inc., equating to 55,750 shares. Next Financial Group Inc owns 113,000 shares representing 0.04% of their total US portfolio. Moreover, Hudson Valley Investment Advisors Inc Adv has 0.01% of their total portfolio invested in the company, equating to 22,500 shares. The Maryland-based Marathon Capital Management has a total of 0.01% of their portfolio invested in the stock. Prudential Plc, a Illinois-based fund reported 2.00 million shares owned.

Since March 19, 2015, the stock had 0 buys, and 3 selling transactions for a total of $57,842 in net activity. Harrington John J sold 8,150 shares worth $11,049. Lehmann William Jr sold 25,000 shares worth $33,913. Van Bokkelen Gil sold 9,500 shares worth $12,880. Deans Robert J sold 5,080 shares worth $6,250.

Athersys Inc. is an international biotechnology firm that is focused primarily in the field of regenerative medicine. The company has a market cap of $85.78 million. The Company’s MultiStem cell therapy is being evaluated in multiple clinical trials. It currently has negative earnings. The Company’s current clinical development programs are focused on treating inflammatory and immune disorders, neurological conditions, cardiovascular disease and other conditions.