Capricor Says CIRM-Backed Therapy is 'Well Postioned' to Move Forward to Clinical Use

Stock rises in trading Tuesday

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Capricor Inc.’s stock price climbed 20 percent today after it issued a news release that appeared to ease investors’ concerns about the fate of its proposed treatment for a rare, fatal genetic affliction, Duchenne muscular dystrophy.

The stock closed at $9.25, up from $6.96 on Monday, when it suffered a 32 percent decline. The drop on Monday came after news reports surfaced about how its treatment, deramiocel, was caught in a reported flap at the Food and Drug Administration (FDA).

The California Institute for Regenerative Medicine (CIRM) has invested $3.4 million in the therapy in question. Capricor has received a total of $17.8 million from the state stem cell and gene therapy program.

CIRM has pumped a total of $18 million into Duchenne research through 10 grants. (See below for a list of recipients.)