DDD Stock Price Increases Over 30%: Why It Happened

By Amit Chowdhry ● June 22, 2021
  • The stock price of 3D Systems Corporation (NYSE: DDD) increased by over 30% during intraday trading. This is why it happened.

The stock price of 3D Systems Corporation (NYSE: DDD) increased by over 30% during intraday trading. Investors are responding positively to 3D Systems and CollPlant Biotechnologies (NASDAQ:CLGN) announcing they have signed a co-development agreement for a 3D bioprinted regenerative soft tissue matrix for use in breast reconstruction procedures in combination with an implant. 

The soft tissue matrix is intended for supporting the lower portion of the breast while expanding the implant pocket and providing increased coverage of the implant. And using 3D bioprinting, these matrices can be designed to match the patient’s anatomy to support the breast implant.

According to the World Health Organization, about 2.3 million women were diagnosed with breast cancer globally in 2020, of which a large majority required partial or full removal of breast tissue. And survival probabilities are 90% or greater due to highly effective treatments — which is increasing the focus on delivering improved options for reconstruction. 

The majority of breast reconstruction procedures use soft tissue matrices derived from human cadavers or animals. And these sources are associated with supply shortages and batch-to-batch variability, as well as the possibility for eliciting immune response which impacts healing.

Through the co-development agreement, 3D Systems and CollPlant — with combined expertise in 3D printing, healthcare, bioprinting, and bioinks — will develop 3D bioprinted soft tissue matrices using rhCollagen. And the 3D bioprinted soft tissue matrix product in development is designed to meet the required physical and mechanical properties while promoting cell infiltration and proliferation by using bioink formulations based on rhCollagen that promote tissue regeneration. 

The companies are expecting their efforts will result in tissue matrices that offer superior performance, consistency, and safety due to their plant origin and identical match with natural human collagen — which does not elicit an adverse immune response in humans.

KEY QUOTES:

“In January of this year, we announced our intention to increase the investment in regenerative medicine and focus on developing and commercializing solutions to change how healthcare is delivered and bring substantial benefits to patients. Through this project we’re embarking on with CollPlant, we’re exploring a novel application that could offer a new reconstruction treatment for breast cancer survivors. It’s inspiring to be involved in a project that has the potential to have such a positive impact on the human condition.”

— Dr. Jeffrey Graves, president & chief executive officer, 3D Systems

“We’ve joined forces with 3D Systems to offer a regenerative soft tissue matrix that may significantly increase the addressable market for soft tissue reinforcement in breast implant procedures. A regenerative solution can increase safety, eliminate product variability, and enhance results by promoting new tissue growth. We are pleased to deepen our collaboration with 3D Systems as part of CollPlant’s strategy as a leader in regenerative medicine.”

— Yehiel Tal, chief executive officer, CollPlant

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.