--ADDS SHARE PRICE AND BROKER COMMENT---
Collagen Solutions PLC (LON:COS) has established a research collaboration with the Blond McIndoe Research Foundation (BMRF), a not-for-profit burns treatment specialist based at the Queen Victoria Hospital, East Grinstead.
The med-tech group is developing a range of collagen-based medical implants and the two will investigate how to use Collagen’s products to find treatments that reduce the side effects of skin grafts.
Collagen added it sees the combination of BMRF's experience in culturing cells specifically for treatment of burns and the use of high quality medical grade collagen as a potentially effective treatment.
Dr Stewart White, Collagen Solutions’ chief executive, said the care and treatment of burns represented a significant clinical need.
BMRF's experience in the treatment of burns and wound care using the patient's own cells is truly world-leading, he said.
Initially, the project will determine that collagen formulations can provide a successful scaffold for these living cells, he added, after which the two organisations will work on a delivery method.
Broker Panmure said: "Today’s news further demonstrates, in our view, the breadth of opportunity for Collagen Solutions’ technologies. We retain our investment thesis unchanged."
The broker has a 'buy' stance and a target price of 10p.
Shares added 4% to stand at 6.50p on the day.