Autologous Culture Expanded Adipose Derived MSCs for Treatment of Painful Hip OA

This phase I study will enroll 24 subjects with mild to moderate osteoarthritis of the hip.
Subjects will receive either a single dose of 30 million autologous culture-expanded
adipose-derived mesenchymal stromal cells (AMSCs), or two doses of AMSCs (with one month
interval between doses) via ultrasound guided intra-articular hip injection. Patients will be
followed for 24 months past their last injection to determine the local and systemic safety
of single and two-dose injections of AMSCs in the treatment of symptomatic hip OA.

Inclusion Criteria

To be eligible for inclusion into this study, the subjects must fulfill all of the
following criteria:

1. Male or female ages 18-65 years

• Persons of childbearing potential must have a negative pregnancy test prior to
receiving the study drug and will agree to use adequate contraception (hormonal or
barrier method or abstinence) from the time of screening to a period of 1 year
following completion of the drug treatment cycle. Females of childbearing potential
are defined as premenopausal and not surgically sterilized, or post-menopausal for
fewer than 2 years. A urine pregnancy test will be performed prior to the
administration of the study drug to confirm negative results. If the urine pregnancy
test is positive, the study drug will not be administered and the result will be
confirmed by a serum pregnancy test. Serum pregnancy tests will be performed at a
central clinical laboratory, whereas urine pregnancy tests will be performed by
qualified personnel using kit

2. Persons becoming pregnant during the study will continue to be monitored for the
duration of the study or completion of the pregnancy, whichever is longer. Monitoring
will include perinatal and neonatal outcome. Any SAEs associated with pregnancy will
be recorded.

3. Chronic (> 3 months), unilaterally symptomatic, primary hip OA. Patients with episodes
of contralateral hip pain that is asymptomatic at the time of enrollment will be
eligible for inclusion. However, as outlined in the primary study endpoints, patients
with previous episodes of contralateral hip pain who experience a repeat episode of
contralateral pain similar to their established pattern of pain during the course of
the trial will not be considered as having experienced an adverse event.

4. Radiographic hip OA of Tönnis Grade 1 - 2, accompanied by at least mild sclerosis and
joint space narrowing, as agreed upon by two study co-investigators without underlying
structural hip abnormalities

5. Previous 6 week or longer trial of one of the following conservative treatments:
activity modification, weight loss, physical therapy, anti-inflammatory medications or
injection therapy (e.g. cortisone)

6. Able to routinely walk without assistance (e.g. cane, walker)

7. Clinically stable target hip

8. No surgery planned in the target hip for at least 12 months following the last
injection

9. Completed general physical and well-being evaluation with primary care provider within
12 months of enrollment

10. Fully understanding of the requirements of the study and willingness to comply with
the treatment plan, including fat harvesting, laboratory tests, diagnostic imaging,
and follow-up visits and assessments

11. Can provide written informed consent and complete HIPAA documentation after the nature
of the study is fully explained and prior to any study-related procedure

Exclusion Criteria

To be eligible for inclusion in this study, the subjects must not meet any of the following
criteria:

1. Pregnant or nursing, or planning on becoming pregnant during the study period

2. Congenital or acquired malformation of the target hip resulting in significant
deformity or leading to problems with the study treatment or analysis of the results

3. Significant structural deformity, including large cam lesion (alpha angle greater than
55 degrees) or moderate dysplasia (defined as lateral center edge angle less than 18
degrees).

4. Injections of any kind into the target hip within 3 months prior to study enrollment

5. Locking, catching, give-away or another major mechanical symptoms of the target hip

6. History of intra-articular infection in the target hip

7. History of superficial infection in the target hip within 6 months of study
enrollment, or evidence of current superficial infection affecting the target hip

8. History of falls requiring medical attention, or gait instability

9. Clinically significant abnormal hematology (complete blood count with differential),
blood chemistry, or urinalysis screening laboratory results.

10. Body mass index (BMI) > 35 kg/m2

11. Taking anticoagulant medications (e.g. warfarin, heparin or clopidogrel) which may
pose a clinically-significant contraindication to intra-articular injection.

12. Taking herbal therapies or supplements within 4 weeks of enrollment or unwilling to
avoid use of herbal therapies or supplements until at least 30 days following
completion of the study drug treatment cycle (includes, but not limited to chondroitin
sulfate, diacerein, n-glucosamine and capsaicin)

13. Taking non-steroidal anti-inflammatory medications (e.g. COX-2 inhibitors) without a
stable dosing regimen for at least 4 weeks before baseline evaluation, or anticipating
not remaining on a stable dose until at least 30 days following completion of the
study drug treatment cycle

14. Use of electrotherapy or acupuncture for OA, unless there is a stable regimen for at
least 4 weeks before baseline assessment

15. Taking anti-rheumatic disease medication (including methotrexate or other
antimetabolites) within 3 months prior to study enrollment

16. On chronic, immunosuppressive transplant therapy or having a chronic,
immunosuppressive state, including use of systemic steroids/corticosteroids

17. Current tobacco product use, including nicotine patch or other nicotine products

18. Clinically significant systemic inflammatory, rheumatological or connective tissue
disorder including but not limited to rheumatoid arthritis, systemic sclerosis, system
lupus erythematosus, and Ehlers-Danlos Syndrome

19. Clinically significant rheumatological or inflammatory disease of the hip or
chondrocalcinosis/calcium pyrophosphate disease (CPPD), hemochromatosis, inflammatory
arthritis, arthropathy of the hip associated with juxta-articular Paget's disease of
the femur or pelvis, ochronosis, hemophilic arthropathy, infectious arthritis,
Charcot's hip joint, villonodular synovitis, and synovial chondromatosis

20. Ongoing infectious disease, including but not limited to tuberculosis, HIV, hepatitis,
and syphilis

21. Clinically significant cardiovascular (e.g. history of myocardial infarction,
congestive heart failure or uncontrolled hypertension > 90 mmHg diastolic and/or 180
mmHg systolic), neurologic (e.g. stroke, TIA) renal, hepatic, orthopedic (e.g. surgery
on other weight bearing joints that will interfere with study, osteoporosis, acute
lower body fractures), or endocrine disease (e.g. diabetes).

22. Vascular or neurological disorder affecting the either lower limb which poses clinical
significance to the safe delivery of intra-articular therapy.

23. History of cancer/malignancy with the exception of adequately treated basal cell or
squamous cell carcinoma of the skin not associated with the target hip

24. History of clinically significant blood dyscrasia, including but not limited to
anemia, thrombocytopenia, and monoclonal gammopathy

25. Participation in a study of an experimental drug or medical device within 3 months of
study enrollment

26. Known allergy to local anesthetics of other components of the study drug

27. Any contraindication to MRI scan according to MRI guidelines, or unwillingness to
undergo MRI procedures

28. History of or current evidence of alcohol or drug abuse or dependence, recreational
use of illicit drug or prescription medications, or have use of medical marijuana
within 30 days of study entry

29. Any illness or condition which, in the investigators' judgement will interfere with
the patient's ability to comply with the protocol, compromise patient safety, or
interfere with the interpretation of the study results