Mesoblast (NASDAQ:MESO) started the week on a strong note. Shares of the biotech soared by as much as 58.2% on Monday and closed the day's trading session up by 31.6%. Investors bid up Mesoblast's stock today because the company announced additional positive results from a clinical trial for rexlemestrocel-L, one of its leading pipeline candidates.
Patients with chronic heart failure are at a higher risk of heart attack, stroke, and other cardiac-related illnesses. Mesoblast's rexlemestrocel-L has a chance to improve these outcomes, if the results from the company's phase 3 clinical trial are any indication. In December, the biotech announced top-line results from this study, which showed that those treated with rexlemestrocel-L on top of maximal therapies experienced a 60% reduction in the incidence of heart attack or stroke. These patients also saw a 60% decrease in deaths related to cardiac causes when treated at an earlier stage in the progressive disease process.
Today, the company released more data showing that treatment with rexlemestrocel-L was associated with "substantial and durable reductions in heart attacks, strokes, and cardiac deaths." The next step in the process for Mesoblast would be to seek regulatory approval, which the company plans to discuss with the Food and Drug Administration soon.
Chronic heart failure affects some 6.5 million Americans and 26 million people worldwide. According to Mesoblast, the high rates of cardiac-related complications and deaths represent a significant unmet need within this population, which rexlemestrocel-L could fill. Investors are undoubtedly excited about these prospects, which explains why they sent this biotech stock soaring through the roof today.