- Biotherapeutics group Avacta said it had expanded a collaboration and license agreement with Daewoong Pharmaceutical to develop stem cell treatments for seriously ill Covid-19 patients.

The two companies had formed a joint venture in South Korea called AffyXell Therapeutics to develop stem cell treatments.

The scope of the partnership had been expanded to include molecules that targeted viruses, such as coronaviruses, to develop therapies that repaired lung damage caused by Covid-19, whilst producing neutralising molecules to prevent the progression of the disease.

'Respiratory diseases such as ​Covid-19 can cause serious damage to the lungs as a consequence of over-activation of the patient's immune system, resulting in cytokine release syndrome that can potentially lead to multiple organ failure and death,' Avacta said.

'Stem cell therapies offer a very promising approach to repair the damage to lung tissues in these pulmonary diseases by controlling the immune balance.'

At 2:54pm: [LON:AVCT] Avacta Group PLC share price was -4.5p at 145.5p

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