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FDA Clears SeaStar Medical's Pediatric Kidney Device

Published 03/07/2024, 16:20
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DENVER - SeaStar Medical Holding Corporation (NASDAQ: ICU), a medical device company, has announced the U.S. Food and Drug Administration's (FDA) approval for the final labeling of its QUELIMMUNE device for pediatric patients. The device, designed to treat acute kidney injury (AKI) and related conditions in children requiring kidney replacement therapy (KRT), has been granted a Humanitarian Use Device (HUD) designation.

The QUELIMMUNE device, which operates under a Humanitarian Device Exemption (HDE), has demonstrated safety and probable clinical benefit in clinical studies. It is intended for use in pediatric patients weighing at least 10 kilograms who are suffering from AKI and sepsis or a septic condition. The device is changed daily and is expected to be used for an average of seven days per treatment.

Clinical results have shown promising outcomes, with a 77% survival rate observed in treated children, who also showed no dialysis dependency at 60 days post-treatment and no serious adverse events or infections related to the device. These findings come from a pooled analysis of two non-controlled studies, one of which received funding from the FDA Office of Orphan Products Development.

The addressable U.S. market for QUELIMMUNE includes approximately 4,000 children, fitting within the HDE criteria of not more than 8,000 patients per year. SeaStar Medical is also conducting a pivotal trial for the adult population, which is significantly larger, estimated at 210,000 patients annually.

The Selective Cytopheretic Device (SCD), the technology behind QUELIMMUNE, employs a cell-directed approach to reduce hyperinflammation, which can lead to organ failure and death in critically ill patients. Unlike other blood-purification tools, the SCD is integrated with KRT hemofiltration systems and targets proinflammatory cells, transitioning them to a reparative state.

SeaStar Medical's CEO, Eric Schlorff, expressed gratitude towards the FDA for their efforts in the approval process and anticipates the commencement of shipping the device within the month.

The information in this article is based on a press release statement from SeaStar Medical.

In other recent news, SeaStar Medical Holding Corp has finalized a warrant redemption agreement with an investor, redeeming 126,330 warrants for common stock, totaling $449,734.80. This transaction resolves all obligations under the prior securities purchase agreement and related notes, excluding those explicitly persisting post-termination.

SeaStar Medical has also regained compliance with Nasdaq's minimum bid price requirement and is addressing a new challenge concerning the market value of its listed securities. To maintain its listing, the company must meet the $35 million threshold by December 2024.

The company has undergone significant board changes, appointing Jennifer A. Baird, Bernadette N. Vincent, and John Neuman, following the exit of several former board members. SeaStar also announced a restatement of its financial statements due to the accounting treatment of specific warrants and a prepaid forward purchase arrangement, which is not expected to impact its cash position or operations materially.

In clinical developments, SeaStar Medical is progressing with its adult acute kidney injury study and NEUTRALIZE-AKI pivotal trial. The company plans to treat the first critically ill child with AKI and sepsis using its Quelimmune™ pediatric therapeutic device, following FDA approval.

These are some of the recent developments at SeaStar Medical.

InvestingPro Insights

As SeaStar Medical Holding Corporation (NASDAQ: ICU) secures FDA approval for its QUELIMMUNE device, investors are closely monitoring the company's financial health. The recent approval could be a pivotal moment for the company, which is reflected in the stock's significant return over the last week, with a 17.33% price total return. This surge shows investor confidence following the positive FDA announcement, which could be a harbinger of the company's future performance.

However, it's essential to consider that SeaStar Medical's stock trades with high volatility, which could mean sharper price movements in response to market events. This characteristic is underscored by a notable 52.23% drop in the stock's price over the last three months, indicating that while the recent news is positive, the stock has experienced significant fluctuations.

Moreover, the company operates with a moderate level of debt and does not pay a dividend to shareholders, which may influence investment strategies, particularly for income-focused investors. With the company's market capitalization currently standing at $47.35 million, it remains a relatively small player in the medical device sector.

For those interested in deeper analysis, there are additional InvestingPro Tips available that could provide further insights into SeaStar Medical's financial metrics and market behavior. To access these tips and gain a more comprehensive understanding of the company's prospects, visit InvestingPro. Remember, use coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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