[THE INVESTOR] CHA Biotech announced Aug. 22 that its CB-AC-02, an Alzheimer’s disease treatment based on stem cells, will initiate phase 1 and phase 2A of clinical trials simultaneously.

Made of placenta-derived mesenchymal stem cells, the intravenous injection will be tested for safety and efficacy. When commercialized, it can be cryopreserved and supplied off the shelf, decreasing cost compared to existing treatments cultured to order, according to the company.

The drug candidate has been found to decrease the buildup of beta-amyloid in the brain, a protein that is strongly implicated in Alzheimer’s disease, and to improve the recognition ability of rats in a 2013 animal testing.

By Hwang You-mee (glamazon@heraldcorp.com)