CellPlan launch marks commercial transition
WideCells Group PLC (LON:WDC) recent launch of its CellPlan stem cell insurance/medical concierge service marked an important transition for this fast moving company. In less than one year, WideCells has established a platform to market CellPlan to new and existing umbilical cord blood storage clients and established complementary businesses in stem cell storage/processing, research and education. WideCells offers an attractive investment opportunity linked to the burgeoning field of stem cell science that is largely without scientific or insurance risk.
- Outlook: WideCells’ principal focus is providing an insurance product to cover the cost of stem cell therapy to people with preserved cord blood, including through its own storage business and through partnerships with existing players. WideCells appears well placed to exploit a first-mover advantage in this business and has the potential over time to become the dominant provider
- Market: . The market for CellPlan is nascent, but WideCells can already address a substantial potential client base with c.30,000 stored cord blood samples. The speed with which WideCells has established partnerships with cord blood storage firms suggests there is a high degree of interest in the wider cord blood storage sector in adopting CellPlan as part of their offering.
- Operations: WideCells has put in place arrangements to provide medical support to CellPlan clients and underwrite the insured risk. It has obtained regulatory and legal approvals to offer insurance throughout the EU and has launched CellPlan to new and existing cord blood storage clients.
- Sensitivities: The ability to exploit its first-mover advantage and ultimately become the dominant provider of cord blood stem cell therapy insurance is the key determinant for WideCells’s long-term success. The direct sales of CellPlan and cross-selling by partners will be the key revenue drivers.
