StemCells Inc (NASDAQ:STEM) shot up 20% to a 16-month high of $2.05 after the developer of stem-cell therapeutics reported encouraging interim results from a phase I/II clinical trial of its HuCNS-SC human neural stem-cell platform in dry age-related macular degeneration showing patients had improved visual function and slowed disease progression. 

The trial’s interim results showed a 65% reduction in the rate of geographic atrophy–the progressive loss of two important retinal tissue layers–in the study eye when compared with the expected natural history of the disease, as well as a 70% reduction in the rate of geographic atrophy when compared with the control eye, the company said. It noted geographic atrophy is the cause of vision loss in dry age-related macular degeneration. 

The interim results also indicated improvements in visual function, as measured by the ability to distinguish shades of light versus dark, also referred to as contrast sensitivity, the company said. It noted the interim analysis, based on a follow-up of at least six months, demonstrates a favorable safety profile for administration of the HuCNS-SC cells into the sub-retinal space of the study eye. 

“These interim results have exceeded our expectations at this stage of the trial,” said David Birch,chief scientific and executive officer of the Retina Foundation of the Southwest in Dallas, Texas. 

StemCells Inc (NASDAQ:STEM) is currently trading at $1.85 with a new 52-week range of $1.15 to $2.05.