Better Health for All

Mesoblast's core business is developing cell-based therapies for life-threatening inflammatory diseases, chronic heart failure, and chronic low back pain.

Ryoncil, approved for pediatric steroid-refractory acute graft-versus-host disease (SR-aGvHD), demonstrated an 84% survival rate in children after 28 days of treatment and a 70% overall response rate at day 28 in a Phase 3 trial. The company's products are designed to provide substantial health benefits, with no evidence of products causing negative health outcomes. The company invests significantly in R&D, with US$20.6 million in H1 FY2025, and holds approximately 1,000 patents. Clinical trials are conducted under independent Data Safety Monitoring Boards and have received ethics approval from Monash Health. Mesoblast is evaluating remestemcel-L for COVID-19 ARDS, with a pilot study showing 75% of ventilator-dependent patients successfully taken off a ventilator. For chronic low back pain, a particular focus is on reducing opioid usage, with significant pain reduction and opioid cessation observed in a Phase 3 trial. However, the wholesale acquisition cost of Ryoncil is US$194,000 per infusion, with a total treatment cost exceeding US$1.5 million, and while the company has established patient access hubs and secured broad insurance coverage, there is no evidence of pricing relative to production cost or median income. The company's patent protection extends to at least 2044, with biologic exclusivity until December 2036, and no evidence of flexibility in low-income countries. The company announced in a bi-yearly shareholder report that it was running out of cash and might not be able to continue as a going concern.

Fair Pay & Worker Respect

Mesoblast Limited reported no collective bargaining agreements in place for its employees in FY24.

The company recorded no occupational safety incidents for FY24, indicating a TRIR of essentially zero. Voluntary employee turnover was 5% in FY24. The company reported zero cases of material non-compliance with business ethics, integrity, and compliance in FY24.

Fair Trade & Ethical Sourcing

Mesoblast's suppliers are audited annually.

The company has an established vendor assurance program to qualify and manage suppliers, which includes quality agreements, supply agreements, due diligence activities, and audits.

Honest & Fair Business

Mesoblast has not reported any ethics-related regulatory fines, violations, or compliance issues in the past three years, as indicated across multiple company documents, including the 2022 ESG Statement and the 2024 Corporate Governance Statement.

The company has a formal whistleblower protection policy, which includes an anonymous, third-party managed ethics hotline available 24/7, and emphasizes protection against retaliation and confidentiality. However, no whistleblower reports were made during the 2022 reporting period, indicating a lack of reported usage. Additionally, Mesoblast maintains an Anti-Bribery and Anti-Corruption Policy that complies with global and regional laws, such as the FCPA and UK Bribery Act, and includes specific prohibitions and due diligence procedures for third-party representatives. While comprehensive, the policy's training frequency and effectiveness metrics are not publicly detailed.

Kind to Animals

Mesoblast states a commitment to animal welfare and humane treatment, undertaking animal studies only when required by applicable regulatory bodies.

These studies are conducted by expert third-party providers specializing in animal management and welfare.

No War, No Weapons

Based on the provided evidence, there is no indication that Mesoblast Limited is involved in any activities related to war or weapons. The company focuses on developing cell-based therapies for inflammatory diseases and has partnerships with pharmaceutical companies for therapeutic development, not with defense contractors

, . The company's products are intended for medical use and have no apparent dual-use applications related to military or defense , . Therefore, a neutral score is appropriate due to the absence of evidence suggesting either alignment or misalignment with the 'No War, No Weapons' value.

Planet-Friendly Business

Mesoblast reported zero material non-compliance with environmental laws or regulations for both FY22 and FY23.

The company has policies in place for business ethics, integrity, compliance, anti-bribery, and anti-corruption, and requires annual compliance training.

Respect for Cultures & Communities

Mesoblast provides an external whistle-blower hotline with website and phone numbers for Australia, Singapore, and the United States, along with internal reporting channels, indicating standard grievance processes.

However, the whistleblowing policy specifies that the hotline provides prompts in English, suggesting limited incorporation of local languages.

Safe & Smart Tech

Mesoblast Limited reported zero cases of material non-compliance with national and local laws and regulations in FY25

and FY23. The company also stated that no incidents were recorded for FY25, which includes unauthorized data use.

Zero Waste & Sustainable Products

Mesoblast's research facility has a laboratory waste disposal rate of 82%, implying an 18% waste diversion rate.

The company has implemented advanced techniques that resulted in a 47% reduction in biological waste. Its research facility utilizes 60% recycled water and 35% renewable energy. The company holds ISO 14001 certification for its environmental management system. Mesoblast conducts annual waste audits for its major facilities. The company has not reported any material incidents of code non-compliance or waste disposal violations in the past three years. However, no facilities have zero waste certification.