Mesoblast to be Added to Nasdaq Biotechnology Index

Rhea-AI Summary

Mesoblast (Nasdaq:MESO; ASX:MSB), a global leader in allogeneic cellular medicines for inflammatory diseases, has announced its upcoming addition to the Nasdaq Biotechnology Index (NBI). The inclusion will be effective after the U.S. market opens on December 23, 2024, as part of the annual reconstitution of the 2024 Nasdaq index.

The NBI includes Nasdaq-listed companies classified as Biotechnology or Pharmaceuticals according to the Industry Classification Benchmark. Companies must meet specific eligibility requirements, including minimum market capitalization and average daily trading volume criteria. The index operates under a modified capitalization-weighted methodology, with constituent selection occurring annually in December.

Positive

• Addition to Nasdaq Biotechnology Index potentially increasing visibility and liquidity
• Company meets minimum market capitalization and trading volume requirements for index inclusion

Negative

• None.

Insights

Market Research Analyst

The addition to the Nasdaq Biotechnology Index is a positive development that could enhance MESO's visibility and trading liquidity. Index inclusion typically attracts passive investment flows from ETFs and mutual funds tracking the NBI, potentially providing support for the stock price. However, the actual impact may be as the NBI is modified capitalization-weighted and MESO's relatively modest market cap suggests a small weighting in the index. While index inclusion validates the company's market presence, it's important to note this is primarily a technical factor rather than a fundamental catalyst. The increased institutional visibility could benefit long-term trading dynamics, but investors should focus more on clinical and commercial developments for meaningful value drivers.

NEW YORK, Dec. 18, 2024 (GLOBE NEWSWIRE) -- Mesoblast Limited (Nasdaq:MESO; ASX:MSB), global leader in allogeneic cellular medicines for inflammatory diseases, today announced its upcoming addition to the Nasdaq Biotechnology Index (Nasdaq: NBI) as part of the annual reconstitution of the 2024 Nasdaq index. Mesoblast’s inclusion in the NBI will be effective after the U.S. market opens on Monday, December 23, 2024.

The Nasdaq Biotechnology Index contains securities of Nasdaq-listed companies classified according to the Industry Classification Benchmark as either Biotechnology or Pharmaceuticals. The Nasdaq Biotechnology Index is calculated under a modified capitalization-weighted methodology. Companies in the Nasdaq Biotechnology Index must meet eligibility requirements, including minimum market capitalization and average daily trading volume, among other criteria. Nasdaq selects constituents once annually in December.

About Mesoblast
Mesoblast (the Company) is a world leader in developing allogeneic (off-the-shelf) cellular medicines for the treatment of severe and life-threatening inflammatory conditions. The Company has leveraged its proprietary mesenchymal lineage cell therapy technology platform to establish a broad portfolio of late-stage product candidates which respond to severe inflammation by releasing anti-inflammatory factors that counter and modulate multiple effector arms of the immune system, resulting in significant reduction of the damaging inflammatory process.

Mesoblast has a strong and extensive global intellectual property portfolio with protection extending through to at least 2041 in all major markets. The Company’s proprietary manufacturing processes yield industrial-scale, cryopreserved, off-the-shelf, cellular medicines. These cell therapies, with defined pharmaceutical release criteria, are planned to be readily available to patients worldwide.

Mesoblast is developing product candidates for distinct indications based on its remestemcel-L and rexlemestrocel-L allogeneic stromal cell technology platforms. Remestemcel-L is being developed for inflammatory diseases in children and adults including steroid refractory acute graft versus host disease, and biologic-resistant inflammatory bowel disease. Rexlemestrocel-L is being developed for advanced chronic heart failure and chronic low back pain. Two products have been commercialized in Japan and Europe by Mesoblast’s licensees, and the Company has established commercial partnerships in Europe and China for certain Phase 3 assets.

Mesoblast has locations in Australia, the United States and Singapore and is listed on the Australian Securities Exchange (MSB) and on the Nasdaq (MESO). For more information, please see www.mesoblast.com, LinkedIn: Mesoblast Limited and Twitter: @Mesoblast

Forward-Looking Statements
This press release includes forward-looking statements that relate to future events or our future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. We make such forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. Forward-looking statements should not be read as a guarantee of future performance or results, and actual results may differ from the results anticipated in these forward-looking statements, and the differences may be material and adverse. Forward-looking statements include, but are not limited to, statements about: the initiation, timing, progress and results of Mesoblast’s preclinical and clinical studies, and Mesoblast’s research and development programs; Mesoblast’s ability to advance product candidates into, enroll and successfully complete, clinical studies, including multi-national clinical trials; Mesoblast’s ability to advance its manufacturing capabilities; the timing or likelihood of regulatory filings and approvals (including any future decision that the FDA may make on the BLA for remestemcel-L for pediatric patients with SR-aGVHD), manufacturing activities and product marketing activities, if any; the commercialization of Mesoblast’s product candidates, if approved; regulatory or public perceptions and market acceptance surrounding the use of stem-cell based therapies; the potential for Mesoblast’s product candidates, if any are approved, to be withdrawn from the market due to patient adverse events or deaths; the potential benefits of strategic collaboration agreements and Mesoblast’s ability to enter into and maintain established strategic collaborations; Mesoblast’s ability to establish and maintain intellectual property on its product candidates and Mesoblast’s ability to successfully defend these in cases of alleged infringement; the scope of protection Mesoblast is able to establish and maintain for intellectual property rights covering its product candidates and technology; estimates of Mesoblast’s expenses, future revenues, capital requirements and its needs for additional financing; Mesoblast’s financial performance; developments relating to Mesoblast’s competitors and industry; and the pricing and reimbursement of Mesoblast’s product candidates, if approved. You should read this press release together with our risk factors, in our most recently filed reports with the SEC or on our website. Uncertainties and risks that may cause Mesoblast’s actual results, performance or achievements to be materially different from those which may be expressed or implied by such statements, and accordingly, you should not place undue reliance on these forward-looking statements. We do not undertake any obligations to publicly update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.

Release authorized by the Chief Executive.

For more information, please contact:

Corporate Communications / Investors	Media
Paul Hughes	BlueDot Media
T: +61 3 9639 6036	Steve Dabkowski
E: investors@mesoblast.com	T: +61 419 880 486
	E: steve@bluedot.net.au

FAQ

When will Mesoblast (MESO) be added to the Nasdaq Biotechnology Index?

Mesoblast will be added to the Nasdaq Biotechnology Index (NBI) after the U.S. market opens on Monday, December 23, 2024.

What are the requirements for MESO to join the Nasdaq Biotechnology Index?

Companies must meet eligibility requirements including minimum market capitalization, average daily trading volume, and be classified as either Biotechnology or Pharmaceuticals according to the Industry Classification Benchmark.

How often does the Nasdaq Biotechnology Index update its constituents?

The Nasdaq Biotechnology Index selects constituents once annually in December during its reconstitution.

What methodology does the Nasdaq Biotechnology Index use for calculation?

The Nasdaq Biotechnology Index is calculated under a modified capitalization-weighted methodology.