NEOStem Collaboration Announced

March 12, 2014

NeoStem and Mass. Eye and Ear/Schepens Eye Research Institute Announce Second Research Collaboration Exploring NeoStem's VSEL(TM) Technology for Retinal Repair

Contact: Mary Leach

BOSTON (March 12, 2014) -- The Massachusetts Eye and Ear and NeoStem, Inc. ("NeoStem" or the "Company"), a leader in the emerging cellular therapy industry, announced today that it has entered into a sponsored research collaboration with Massachusetts Eye and Ear/Schepens Eye Research Institute, an affiliate of Harvard Medical School.

In this collaboration, NeoStem will sponsor research in the laboratory of principal investigator Michael Young, Ph.D., Director of the Ocular Regenerative Medicine Institute at Mass. Eye and Ear in Boston. The objective of the research is to investigate the role of very small embryonic-like stem cells ("VSELs(TM)"), as well as CD34+ cells, in a study that will compare the efficacy of these two cell types for retinal repair.

"We are enthusiastic about continuing to work with NeoStem to explore the regenerative potential of their human VSEL(TM) Technology," said Dr. Michael Young. "Our work will use animal models to determine whether highly enriched human VSELs(TM), when injected in the vitreal or subretinal space, can migrate and integrate into areas of damage and have the ability to differentiate and express markers of retinal stem cells, neuronal cells, and photoreceptors."

"We are excited to build upon the relationship we have established with Mass. Eye and Ear/Schepens and work with Dr. Michael Young to advance research to determine the potential of VSELs(TM) to treat ocular diseases such as macular degeneration, retinitis pigmentosa, and other retinal degenerative diseases that have no effective treatment options today," said Dr. Robin L. Smith, Chairman and CEO of NeoStem.