Cantor Update - MSC's and COVID-19

Hi All,

Very Interesting .. great news for patients and their families.

CANTOR FITZGERALD ANALYSIS 3RD MARCH 2020

Mesoblast Ltd. ADR (MESO - $7.75, Overweight, Target: $23.00)

Study Shows Mesenchymal Stem Cells Have Potential To Treat COVID-19 Pneumonia Quick Take . Takeaways A study published in Aging and Disease shows that mesenchymal stem cells have the potential to treat COVID-19. The study is titled "Transplantation of ACE2- Mesenchymal Stem Cells Improves the Outcome of Patients with COVID-19 Pneumonia". The abstract was accepted 2/29/20. See a link to the study here. MESO is committed to bringing to market innovative cellular medicines to treat serious life-threatening conditions. Therefore, this study highlights a new, upside opportunity for the company. A coronavirus (HCoV-19) has caused the novel coronavirus disease (COVID-19) outbreak in Wuhan, China. Preventing and reversing the cytokine storm may be the key to save the patients with severe COVID-19 pneumonia. Mesenchymal stem cells (MSCs) have been shown to possess a comprehensive powerful immunomodulatory function. The study we reference investigates whether MSC transplantation improves the outcome of 7 enrolled patients with COVID-19 pneumonia in Beijing YouAn Hospital, China, from Jan 23, 2020 to Feb 16, 2020. The clinical outcomes, as well as changes of inflammatory and immune function levels and adverse effects of 7 enrolled patients, were assessed for 14 days after MSC injection. The study shows that MSCs could cure or significantly improve the functional outcomes of seven patients without observed adverse effects. The pulmonary function and symptoms of these seven patients were significantly improved in 2 days after MSC transplantation. Among them, two common and one severe patient were recovered and discharged in 10 days after treatment. After treatment, the peripheral lymphocytes were increased, the C-reactive protein decreased, and the overactivated cytokine-secreting immune cells CXCR3+CD4+ T cells, CXCR3+CD8+ T cells, and CXCR3+ NK cells disappeared in 3-6 days. In addition, a group of CD14+CD11c+CD11bmid regulatory DC cell population dramatically increased. Meanwhile, the level of TNF-α was significantly decreased, while IL-10 increased in MSC treatment group compared to the placebo control group. Furthermore, the gene expression profile showed MSCs were ACE2- and TMPRSS2- which indicated MSCs are free from COVID-19 infection. Thus, the intravenous transplantation of MSCs was safe and effective for treatment in patients with COVID-19 pneumonia, especially for the patients in critically severe condition. Please join us for a group lunch with the management team of MESO on 3/18 in NYC to discuss these findings and other important upcoming catalysts for the company this year.