Stem Cell Firms Get Bill Activity Boost Friday May 20, 4:27 pm ET Biotech Companies Using Stem Cell Technology Get Boost After Legislative Activity
NEW YORK (AP) -- Biotech companies that use stem cell technologies received a boost Friday after House Republican leaders said they would support a research bill that encouraged harvesting the cells from umbilical cords, in light of a presidential veto threat over a bill calling for the use of embryonic cells. ADVERTISEMENT
Aastrom Biosciences Inc. shares rose 22 cents, or 8.6 percent, to close at $2.88 on the Nasdaq, and StemCells Inc. shares rose 42 cents, or 11.7 percent, to close at $4.
Stem cells are template cells found in bone marrow, embryos and umbilical cords that can be coaxed to grow into different cell types using biochemical signals to replace damaged cells that cause a variety of illnesses.
On Thursday, House Speaker Dennis Hastert, R-Ill., and Majority Leader Tom DeLay, R-Texas, said they would pair language encouraging the harvesting stem cells from umbilical cord blood with legislation calling for a lift of President Bush's 2001 ban on using federal money for research using new embryonic stem cells lines. Bush said Friday he would veto any bill that tried to lift the ban.
One drawback from using umbilical cord blood cells is that they grow into fewer types of tissues than embryonic cells can.
Reps. Mike Castle, R-Del., and Diana DeGette, D-Colo., sponsored the bill that calls for a lift of the ban.
Geron Corp. shares rose 14 cents to close at $7.35 on the Nasdaq, and ViaCell Inc. shares climbed 46 cents, or 7.6 percent, to close at $6.51.
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