BrainStorm’s objectives are to complete the development of its technologies and have the proprietary procedure adopted by a user-base of hospitals throughout the United States and Europe, for the treatment of a series of neurodegenerative diseases, focusing initially on PD and ALS, and later MS. The Company’s overriding vision is for NurOwn™ therapy for GDNF- and dopamine-producing neurons to be among the earliest successes of stem cell technologies, and that the Company’s approach to the PD market will be the starting point for a larger market potential.
Business Model
Medical Center Cooperation
BrainStorm’s business model is determined by the desire to achieve rapid market penetration, while ensuring that the Company retains control over its intellectual property.
At this stage, the preferred option is to cooperate with selected medical centers, across an increasing number of geographic areas. These medical centers will have:
�� Fully equipped modern facilities
�� Recognized neurological expertise
�� Surgical and medical staff to competently carry out the
procedure
�� Access to a strong and continuing stream of patients
�� Desire to build their professional reputation by offering patients
BrainStorm’s innovative procedure
�� Good laboratory
Cooperation will be built on the following arrangements:
�� A fully equipped laboratory will be established, having all the
necessary preparatory and processing equipment. The lab could
be within the medical center or close by, operated by
BrainStorm. As shown later, each lab could support several
medical centers.
�� The laboratory will be responsible for processing bone marrow
extracted from patients, enabling the production of the cells
required for the procedure.
From an operating standpoint, the cooperation would be as follows:
�� Evaluation – Potential patients are evaluated by the medical
center to determine if they are suitable candidates for the
procedure.
�� Extraction – Patients visit the center as outpatients where the
bone marrow sample is extracted. Bone marrow is then sent to
the laboratory for processing.
�� Processing – The bone marrow is processed to produce the
GDNF- producing neuron-like cells.
�� Hospitalization – The patient is admitted, probably for a
three day stay.
�� Procedure – The center receives the cells and carries out the
procedure.
�� Follow Up – Brain Storm provides whatever assistance may be
required, including data collection, tracking and evaluation of
post-procedure test results.
Strategic Partners
BrainStorm will consider establishing relationship with a major strategic marketing partner with established distribution channels and the ability to gain relatively fast access to the target markets. Working with a major partner will optimize the BrainStorm approach. Cooperation with a strategic partner will facilitate rapid and broad market penetration by leveraging the partner’s credibility and proven ability to provide service and support across a large and geographically spread target market.
The prime potential strategic partner will be private hospital chains interested in expanding their service offerings and associating with an innovative technology to enhance their professional standing and revenue potential.
Market
