(Adds share movement)
Jan 3 Osiris Therapeutics Inc OSIR.O said it
has been awarded a $224.7 million contract from the U.S.
Department of Defense to develop and stockpile Prochymal, an
adult stem-cell therapy, for the repair of gastrointestinal
injury resulting from radiation exposure.
Shares of the company rose 16 percent to $14.60 in late
electronic trade, after closing at $12.57 Thursday on the
Under the terms of the contract, the department will
provide funding to Osiris for the development of Prochymal for
acute radiation syndrome in two stages, with an initial amount
of $4.2 million in 2008, the company said in a statement.
(Reporting by Shailesh Kuber in Bangalore; Editing by Vinu