Osiris shares up as FDA clears reimbursement pathway for wound treatment

Shares of Osiris Therapeutics Inc rose as much as 15 percent on Wednesday, after the stem-cell technology company’s wound treatment received a temporary reimbursement code from U.S. health regulators.

The U.S. Food and Drug Administration assigned a temporary reimbursement code for Osiris’s wound-care matrix containing stem cells on Tuesday.

The regulator also cleared the reimbursement pathway for the product by indicating that it could receive a permanent reimbursement code.

Shares of the company were trading up 10 percent at $7.15 in morning trade on Wednesday on the Nasdaq. They jumped to $7.49 earlier in the session.

(Reporting by Vidya P L Nathan in Bangalore; Editing by Don Sebastian)

###

(Reuters)