GE teams up with Geron for stem-cell research

[dem mba]

http://www.reuters.com/article/latestCrisis/idUSBNG514055

GE teams up with Geron for stem-cell research

Tue Jun 30, 2009 1:05pm EDT

* To focus on human embryonic stem cells

* Products would be used to test developing drug safety

* Technology is controversial in United States

* Geron shares up 17 percent (Recasts first sentence, adds comments by GE executive)

By Scott Malone

BOSTON, June 30 (Reuters) - General Electric Co (GE.N: Quote, Profile, Research, Stock Buzz) is teaming up with U.S. biotech company Geron Corp (GERN.O: Quote, Profile, Research, Stock Buzz) to use stem cells to develop products that could give drug developers an early warning of whether new medicines are toxic.

The venture is the largest U.S. conglomerate's most direct attempt to make a commercial products from human embryonic stem cells. Scientists say the cells hold great medical promise, but their use has been highly controversial in the United States.

Embryonic stem cells are the body's master cells and can grow into various types of human tissue, such as skin or internal organs.

GE and Geron aim to use an existing batch of stem cells to develop sample human cells that drug companies could use to test the toxicity of new drugs early in the development process, before they are ready for animal testing or human clinical trials.

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