Author: Jordan Locy & Ethan Bochicchio
In late 2021, researchers Denis Evseenko and Frank Petrigliano were awarded a $6 million grant from the California Institute of Regenerative Medicine for their breakthrough, having used a stem cell-based bio-implant to delay joint degeneration and repair cartilage in a large animal model. Today, joined by Jay R. Lieberman, their company, Plurocart, offers off-the-shelf, allogeneic, pluripotent stem cell-derived chondrocytes —a cutting-edge therapy poised to quickly surpass competitors.
Plurocart is a last resort treatment for issues associated with osteoarthritis, a progressive condition in which joint cartilage wears down, causing friction between bones during movement. In California, some 10% of adults suffer from focal articular cartilage lesions. This affliction is not easily ameliorated through cell therapy. With an active aging population, the incidence of cartilage damage and osteoarthritis is increasing alongside rates of obesity and sports injuries.
Currently, Plurocart technology is advancing into Phase 1 clinical trials after successful filing of a New Investigational Drug (IND) application to the FDA in July 2025. A first in human (FIH) trial planned to be conducted by the Department of Orthopaedic Surgery at the University of Southern California (USC). To get to this stage, Plurocart conducted FDA-requested 9-month GLP safety studies, completed in 2024. Plurocart also produced and released Master and Working Cell banks, a process completed in 2022, and developed large-scale engineering and manufacturing of their product two years later.
The Alfred E. Mann Institute (AMI) has restarted making investments into healthcare, life science, and biomedical technologies, through the USC AMI Innovation Fund. The AMI will invest in the technology that Plurocart has developed, providing financial support to enable these early-stage clinical programs. “After a thorough evaluation of the technology, we are thrilled to invest in Plurocart and support their mission to serve patients in need. Dr. Evseenko and Plurocart are great examples of how research at USC can make a real difference for patients and provides growth to our innovation ecosystem.” – Dr. Tariq Warsi, Managing Director at USC AMI.
Dr. Denis Evseenko, one of the founders of Plurocart, is a professor at USC specializing in orthopaedic surgery, stem cell research, and regenerative medicine. He holds a distinguished chair in genetic orthopaedic research and serves as Director of Skeletal Regeneration and Vice Chair for Research. Informed by over a decade of experience in translational research, Dr. Evseenko’s work focuses on developing stem cell and drug-based therapies to prevent arthritis and repair damaged cartilage. The Research Strategy & Development (RSD) team engaged Dr. Evseenko to discuss this exciting investment:
RSD:
What made you decide that this technology was worth commercializing?
Dr. Evseenko:
This decision is based on several components, including 1) a major unmet need in this industry, joint injury is very common, and none of the current strategies for cartilage/joint restoration are effective. If not treated, those injuries predispose to osteoarthritis, a major disease of the joints. The incidence of this disease is increasing with population aging, and therefore, a lot more people will develop it after injuries. 2) No efficient off-the-shelf therapy is available, and it is a major challenge. Autologous cell therapies are available, but the cost of them can easily exceed $50,000 because they can only be used for a single patient. In addition, their efficacy is limited. Plurocart is an off-the-shelf (cryopreserved) allogeneic therapy, and it can be manufactured in large batches of hundreds of implants, greatly reducing the cost and increasing the coverage of the patient population; a cryopreserved material can be delivered to any location in the world. 3) Plurocart is first in class; no other products derived from pluripotent stem cells are available on the market. 4) Plurocart showed very efficient joint regeneration results in large animal preclinical models, and live cells from implants can stay and function in the patient for a long time, at least a year. None of the previous technologies or products from stem cells or other cell-based therapies has achieved that. 5) Plurocart is IP-protected. All those factors combined create a strong case for the commercial development of Plurocart.
RSD:
How did you put yourself into an entrepreneurial mindset and what challenges did you face early on?
Dr. Evseenko:
An entrepreneurial mindset requires creativity and a high tolerance for failure; it also requires risk-taking. At some point, I realized that all those activities are very appealing to me. Another major motivator is the high reward potential of entrepreneurial activities, especially with respect to their therapeutic potential. Osteoarthritis affects 500 million people worldwide, and even if a small fraction benefits from our therapy, the impact will be very significant. My experience in communicating with people from the “real world” – top company executives, Big Pharma development leaders, and politicians was highly motivational. I realized that the word “commercialization” is very synonymous with the word “fixing something important for society”. Very appealing, unfortunately, in academia, people often primarily focus on what is important for them and their labs, rather than the unmet medical or social needs.
RSD:
How has USC enabled you to promote, accelerate, or champion your company?
Dr. Evseenko:
I had very strong support at the Department of Ortho Surgery throughout this journey, and especially our surgeons, Dr Jay Lieberman and Petrigliano, who have helped to understand the real-world needs. Most of the funding we received to date (~$10M) was received from the California Institute of Regenerative Medicine. USC Alpha Clinic has helped us to manage those major grants, especially the most recent CLIN1 project that led to the Investigational New Drug Application to the FDA. AMI is a new emerging initiative where those early seed investments not only provide resources for initiating the company activities but also indicate to other potential investors that this technology is worth looking at.
RSD:
If you could offer a few words of wisdom to your fellow entrepreneurs and innovators, what would that be?
Dr. Evseenko:
Always remember that success is the right balance of a unique project created by you and the status and needs in this area. Second, it is essential to delegate the tasks and not be afraid to let more qualified experts direct the company and make critical decisions. We, as a community of innovators, see major positive change in the environment and support at USC for that kind of activities and initiatives.
For more information on AMI or AMI-related inquiries, contact Tariq Warsi at twarsi@usc.edu or visit innovation.usc.edu