The share price of Mesoblast Ltd [ASX:MSB] is up on the back of news the company is due to complete their first interim analysis in early September.
This is for their Phase 3 trial of their lead product for COVID-19 Acute Respiratory Distress Syndrome (ARDS).
MSB shares are up 4.68%, to trade at $4.03 at the time of writing.
What’s happening at Mesoblast?
The company’s primary goal is to develop ‘innovative allogeneic cellular medicines to treat complex diseases resistant to conventional standard of care and where inflammation plays a central role.’
But they quickly turned their attention to acute respiratory distress syndrome (ARDS) related to COVID-19.
Right now, there are no approved treatments for ARDS in patients with COVID-19, which is the primary cause of death for suffers of COVID-19.
In a recent announcement Mesoblast Chief Executive Dr Silviu Itescu stated:
‘Remestemcel-L has two imminent major milestones, the interim analysis in the ongoing Phase 3 trial of remestemcel-L in COVID-19 patients with acute respiratory distress syndrome and the FDA advisory committee panel review of our submission for potential approval of RYONCIL™.’
The ongoing trials of remestemcel-L showed that patients at Mt Sinai Hospital in New York with moderate to severe ARDS were successfully taken off a ventilator and discharged from hospital within a median of 10 days.
This was shown to be true in nine out of 12 cases of 75% of the patients.
So promising early signs for the treatment are there.
MSB share price chart looks bullish
With the ongoing trails of Remestemcel-L and no end in sight for the COVID-19 pandemic, MSB may be well-placed for a bright future.
Looking at the MSB share price, back in January 2020 the 50-day moving average (green line) crossed over the 200-day moving average (red line).
Since then it has moved further up and away, indicating a bullish outlook.
With the MSB share price sitting at $4.03 at the time of writing, on reasonable volume should the movement up continue the next level that may provide resistance is $4.50 — being the most recent high, this may prove to be a very strong level.
Should the price turn and fall, then the levels of $3.42 and $3.07 may become the focus on the downside.
For Money Morning
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