Orthocell higher on securing further Asian patent protection for CelGro® collagen rope

Orthocell Ltd (ASX:OCC) has been granted patents for its CelGro® collagen rope in China and Hong Kong, bringing the number of countries it is patented in to five. The collagen rope product, part of the company’s CelGro® collagen scaffold platform technology, is designed to augment ligament repair surgeries such as anterior cruciate ligament (ACL) reconstruction. Given the frequency of ACL injuries, particularly in sport, the technology represents a multi-billion market opportunity for Orthocell, The CelGro® collagen rope could become the first ‘off the shelf’ biological solution for ACL reconstruction, with the final pre-clinical results for Orthocell’s ACL reconstruction study expected to be read out in the September quarter. ACL opportunity Orthocell managing director Paul Anderson said the patents would protect the company’s intellectual property, as it aims to introduce a world-first ACL reconstruction augment. “There are currently no biological off-the-shelf solutions that mimic human ligament to enable the optimal repair of ACL injuries,” he said. “The CelGro® collagen rope addresses this problem, as it is designed to augment ACL reconstruction without the need to harvest the patient’s hamstring or patella tendon and will disrupt the sports injury repair market by dramatically improving ACL surgery outcomes. “We are extremely excited by the potential of this novel technology and I look forward to releasing the pre-clinical results in Q3 of 2021.” Shares were as much as 7% higher to A$0.53 while Orthocell’s market cap is approximately A$94.3 million. Current therapy downfalls The ACL is one of the major stabilising ligaments of the knee and once it ruptures, it is incapable of healing on its own. A ruptured ACL usually requires surgical intervention with a long period for rehabilitation before returning to pre-injury activities, commonly up to a year. Approximately 15,000 ACL knee reconstructions are done annually in Australia and up to 200,000 per year in the United States alone, with up to a quarter of patients needing additional or revision surgery. The estimated cost of ACL tears is estimated to be more than $7.5 billion and up to $17.5 billion if follow-up rehabilitation is required. Current surgeries involve a hamstring graft during which part of the patient’s tendon is surgically removed and used to replace the ruptured ACL. However, harvesting a patient's hamstring tendon has many downsides, is time-consuming and can result in donor site morbidity leaving the patient prone to hamstring tears or strains during rehabilitation. Orthocell solution Orthocell has developed an alternative to harvesting the patient’s tendons with the CelGro® collagen rope made from braided collagen fibres; collagen is the most abundant protein in the human body, found in the bones, muscles, skin and tendons. CelGro® is a biological collagen membrane manufactured by Orthocell to augment surgical repair of bone and soft tissue. Orthocell says its collagen rope has the potential to significantly improve treatment efficiency and effectiveness by simplifying repair techniques, reducing surgery time and mitigating the risks associated with harvesting the patient’s hamstring tendon, meaning it could also assist in returning patients to elite sport sooner. Initial pre-clinical results indicate the CelGro® collagen rope has superior biomechanical properties and is capable of replacing hamstring grafts for ACL reconstruction. - Daniel Paproth