Mesenchymal stem cells are characterized by high "plasticity", i.e. have the ability to differentiate to form different cell types. For this reason it can be used in regenerative medicine to regenerate tissues and organs.
Another important characteristic of the mesenchymal stem cell is the possible proliferation of cells, without losing their "plasticity".

Clinical experimental studies around the world have shown that these cells have several applications: for example in myocardial infarction, multiple sclerosis, stroke, traumatic brain injury, repair of spinal cord injuries, muscular dystrophy and regeneration of bone, cartilage, ligaments and skin (Davis T Harris, (2009). Non-haematological uses of cord blood stem cells. British Journal of Heamatology. 147: 177-184).

Mesenchymal stem cells are located mainly in the portion of the umbilical cord.
The collection can be done safely from a small piece of cord 15-20 cm, immediately after the birth.

Anna M. Wobus (27 March 2008). Stem Cells. Springer. pp. 248–. ISBN 9783540778547. http://books.google.com/books?id=aGyqLIoP1kUC&pg=PA248. Retrieved 16 April 2010.
Sell, Stewart (2003), Stem cell handbook, Humana Press, p. 143
Ryan JM, Barry FP, Murphy JM, Mahon BP (2005). "Mesenchymal stem cells avoid allogeneic rejection". J Inflamm (Lond) 2: 8. doi:10.1186/1476-9255-2-8. PMID 16045800
Concise review: mesenchymal stem/multipotent stromal cells: the state of transdifferentiation and modes of tissue repair--current views. Stem Cells. 2007 Nov; 25 (11):2896-902. Epub 2007 Sep 27. Review
http://www.answers.com/topic/mesenchymal-cell
Davis T Harris, (2009). Non-haematological uses of cord blood stem cells. British Journal of Heamatology. 147: 177-184