2 ASX 200 biotech stocks announcing big news today

Let's see how the market has responded to these announcements.

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A couple of ASX 200 biotech stocks are in the spotlight today after releasing big news.

However, while one is pushing higher, the other has dropped into the red. Let's see what is happening:

Scientists working in the laboratory and examining results.

Image source: Getty Images

Mesoblast Ltd (ASX: MSB)

The Mesoblast share price is down 2% to $2.13. This morning, the allogeneic cellular medicine developer announced that its Ryoncil (remestemcel-L) has gone on sale in the United States.

Ryoncil is the first mesenchymal stromal cell (MSC) therapy approved by U.S. Food and Drug Administration (FDA) for any indication. It is now available for approved for treatment of paediatric patients two months and older, including adolescents and teenagers, with steroid-refractory acute graft versus host disease (SR-aGvHD). It is a condition with high mortality rates.

Commenting on the news, the ASX 200 biotech stock's CEO, Dr. Silviu Itescu, said:

The commercial availability of RYONCIL is a significant milestone in our mission to bring innovative cellular medicines to patients in need. We have made RYONCIL available three months after receiving FDA approval, a significant commercial achievement and a reflection of our team and partners who are driven by the overwhelming desire to help children and their families faced with this devasting disease.

Neuren Pharmaceuticals Ltd (ASX: NEU)

The Neuren Pharmaceuticals share price is up 2% to $12.20. This has been driven by news that the company is developing a new product.

According to the release, it is initiating development on NNZ-2591 to treat hypoxic-ischemic encephalopathy (HIE).

The ASX 200 biotech stock notes that HIE is a devastating type of brain injury caused when a baby's brain does not receive enough oxygen or blood flow before or shortly after birth. About two to three in every 1,000 births in high income countries and 10-30 per 1,000 births in low- and middle-income countries will be affected by HIE.

It highlights that this means there are many thousands of babies and children experiencing HIE every year. It is one of the leading causes of neonatal death and neurodevelopmental disability worldwide.

Neuren's chief science officer, Larry Glass, commented:

We are very excited to announce HIE as a new indication for NNZ-2591. Neuren has a long heritage in brain injury, dating back to our inception at the University of Auckland and scientists at the University also played a major role in the development of hypothermia as the current standard of care for HIE. Neuren is now targeting a potential new paradigm in treatment to improve long-term outcomes for children and their families.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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